| Fair Value of Financial Instruments |
Note
3 – Fair Value of Financial Instruments
The
estimated fair values of financial instruments outstanding were (in thousands):
Schedule of Estimated Fair Value of Financial Instrument
| |
|
March 31, 2022 (Unaudited) |
|
| |
|
|
|
|
Unrealized |
|
|
Unrealized |
|
|
Fair |
|
| |
|
Cost |
|
|
Gains |
|
|
Losses |
|
|
Value |
|
| Cash and cash equivalents |
|
$ |
7,286 |
|
|
$ |
—
|
|
|
$ |
—
|
|
|
$ |
7,286 |
|
| Short-term investments |
|
|
19,496 |
|
|
|
— |
|
|
|
(42 |
) |
|
|
19,454 |
|
| Total |
|
$ |
26,782 |
|
|
$ |
— |
|
|
$ |
(42 |
) |
|
$ |
26,740 |
|
| |
|
December 31, 2021 |
|
| |
|
|
|
|
Unrealized |
|
|
Unrealized |
|
|
Fair |
|
| |
|
Cost |
|
|
Gains |
|
|
Losses |
|
|
Value |
|
| Cash and cash equivalents |
|
$ |
8,968 |
|
|
$ |
—
|
|
|
$ |
—
|
|
|
$ |
8,968 |
|
| Short-term investments |
|
|
23,040 |
|
|
|
— |
|
|
|
(29 |
) |
|
|
23,011 |
|
| Total |
|
$ |
32,008 |
|
|
$ |
— |
|
|
$ |
(29 |
) |
|
$ |
31,979 |
|
The
following table represents the Company’s fair value hierarchy for its financial assets (cash equivalents and investments) (in thousands):
Schedule
of Fair Value Hierarchy Financial Assets
| |
|
Fair Value |
|
|
Level 1 |
|
|
Level 2 |
|
|
Level 3 |
|
| |
|
March 31, 2022 (Unaudited) |
|
| |
|
Fair Value |
|
|
Level 1 |
|
|
Level 2 |
|
|
Level 3 |
|
| Money market funds |
|
$ |
6,299 |
|
|
$ |
6,299 |
|
|
$ |
—
|
|
|
$ |
—
|
|
| Corporate notes and commercial paper |
|
|
19,454 |
|
|
|
— |
|
|
|
19,454 |
|
|
|
— |
|
| Total financial assets |
|
$ |
25,753 |
|
|
$ |
6,299 |
|
|
$ |
19,454 |
|
|
$ |
— |
|
| |
|
Fair Value |
|
|
Level 1 |
|
|
Level 2 |
|
|
Level 3 |
|
| |
|
December 31, 2021 |
|
| |
|
Fair Value |
|
|
Level 1 |
|
|
Level 2 |
|
|
Level 3 |
|
| Money market funds |
|
$ |
5,484 |
|
|
$ |
5,484 |
|
|
$ |
—
|
|
|
$ |
—
|
|
| Corporate notes and commercial paper |
|
|
23,011 |
|
|
|
— |
|
|
|
23,011 |
|
|
|
— |
|
| Total financial assets |
|
$ |
28,495 |
|
|
$ |
5,484 |
|
|
$ |
23,011 |
|
|
$ |
— |
|
As of March 31, 2022, the fair value of the derivative liability amounted
to $120,000. The details of derivative liability transactions for the three months ended March 31, 2022 and 2021, are as follows:
Schedule
of Derivative Liability Transactions
| |
|
March 31, 2022 |
|
|
March 31, 2021 |
|
| |
|
|
(Unaudited) |
|
|
|
(Unaudited) |
|
| Beginning balance |
|
$ |
138,000 |
|
|
$ |
383,000 |
|
| Fair value upon issuance of warrants |
|
|
- |
|
|
|
- |
|
| Change in fair value |
|
|
(18,000 |
) |
|
|
(21,000 |
) |
| Extinguishment |
|
|
- |
|
|
|
- |
|
| Ending balance |
|
$ |
120,000 |
|
|
$ |
362,000 |
|
|