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FAIR VALUE OF FINANCIAL INSTRUMENTS
3 Months Ended
Mar. 31, 2024
FAIR VALUE OF FINANCIAL INSTRUMENTS  
FAIR VALUE OF FINANCIAL INSTRUMENTS

4.    FAIR VALUE OF FINANCIAL INSTRUMENTS

ASC 820, “Fair Value Measurements”, defines fair value, establishes a framework for measuring fair value and requires additional disclosures regarding certain fair value measurements.  ASC 820 establishes a three-tier hierarchy for measuring fair value, as follows:

Level 1 – quoted market prices in active markets for identical assets and liabilities

Level 2 – inputs other than quoted prices that are directly or indirectly observable

Level 3 – unobservable inputs where there is little or no market activity

The following tables summarize the values of assets designated as Investments in debt and equity securities:

March 31, 2024

    

Level 1

    

Level 2

    

Level 3

    

Total

Equity securities

$

20,101,975

$

$

$

20,101,975

Mutual funds

15,855,747

15,855,747

Municipal bonds

672,717

672,717

$

36,630,439

$

$

$

36,630,439

December 31, 2023

    

Level 1

    

Level 2

    

Level 3

    

Total

Equity securities

$

18,282,556

$

$

$

18,282,556

Mutual funds

15,656,757

15,656,757

Municipal bonds

 

681,900

681,900

$

34,621,213

$

$

$

34,621,213

The investment assets are readily marketable and are carried at fair value as of the date of the Condensed Balance Sheets. The Company intends to hold these assets for possible future operating requirements. The following table summarizes gross unrealized gains and losses from Investments in debt and equity securities:

March 31, 2024

Cumulative Unrealized

Aggregate

    

Cost

    

Gains

    

Losses

    

Fair Value

Equity securities

$

24,111,677

(4,009,702)

20,101,975

Mutual funds

15,775,033

80,714

15,855,747

Municipal bonds

635,475

37,242

672,717

$

40,522,185

$

117,956

$

(4,009,702)

$

36,630,439

December 31, 2023

Cumulative Unrealized

Aggregate

    

Cost

    

Gains

    

Losses

    

Fair Value

Equity securities

$

24,074,112

$

$

(5,791,556)

$

18,282,556

Mutual funds

15,576,527

80,230

15,656,757

Municipal bonds

 

635,425

46,475

681,900

$

40,286,064

$

126,705

$

(5,791,556)

$

34,621,213

Unrealized gains on investments in debt and equity securities were $1.7 million and $1.5 million for the three months ended March 31, 2024 and 2023, respectively.