Cash Equivalents and Investments |
12 Months Ended |
|---|---|
Dec. 31, 2021 | |
| Cash Equivalents and Investments [Abstract] | |
| Cash Equivalents and Investments | NOTE 6 –CASH EQUIVALENTS AND INVESTMENTS The following tables show the Company’s cash equivalents and available-for-sale securities’ amortized cost, gross unrealized gains, gross unrealized losses and fair value by significant investment category recorded as cash equivalents or short and long-term investments as of December 31, 2021 and December 31, 2020: December 31, 2021 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value Cash Equivalents Short-Term Investments Long-Term InvestmentsCash equivalents: Money Market funds$ 855,000 $ — $ — $ 855,000 $ 855,000 $ — $ —Subtotal 855,000 — — 855,000 855,000 — — Investments: Corporate Notes/Bonds 2,919,000 — (15,000) 2,904,000 — 135,000 2,769,000Convertible Debt 250,000 — — 250,000 — — 250,000Subtotal 3,169,000 — (15,000) 3,154,000 — 135,000 3,019,000 Total$ 4,024,000 $ — $ (15,000) $ 4,009,000 $ 855,000 $ 135,000 $ 3,019,000 December 31, 2020 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value Cash Equivalents Short-Term Investments Long-Term InvestmentsCash equivalents: Money Market funds$ 9,424,000 $ — $ — $ 9,424,000 $ 9,424,000 $ — $ —Subtotal 9,424,000 — — 9,424,000 9,424,000 — — Investments: Commercial Paper 700,000 — — 700,000 — 700,000 —Corporate Notes/Bonds 7,658,000 7,000 (1,000) 7,664,000 — 2,059,000 5,605,000Convertible Debt 605,000 — — 605,000 — — 605,000Subtotal 8,963,000 7,000 (1,000) 8,969,000 — 2,759,000 6,210,000 Total$ 18,387,000 $ 7,000 $ (1,000) $ 18,393,000 $ 9,424,000 $ 2,759,000 $ 6,210,000 The following table summarizes the estimated fair value of our investments, designated as available-for-sale and classified by the contractual maturity date of the securities as of December 31, 2021: Amortized Cost EstimatedMarket ValueDue within one year $ 135,000 $ 135,000Due after one year through five years 3,034,000 3,019,000 $ 3,169,000 $ 3,154,000 The Company tests for other than temporary losses on a quarterly basis and has considered the unrealized losses indicated above to be temporary in nature. The Company intends to hold the investments until it can recover the full principal amount and has the ability to do so based on other sources of liquidity. The Company expects such recoveries to occur prior to the contractual maturities. During 2021, the Company recognized a realized loss on its convertible debt investments and recorded $400,000 in expense within investment and other income (expense) in the accompanying consolidated statement of income (loss) and comprehensive income (loss). The Company did not recognize any gross realized gains during the years ending December 31, 2021 and 2020, respectively. In April 2020, the Company made an $899,000 minority investment in the common stock of Quortus Ltd., a UK-based company that provides virtual core network software for Private LTE solutions for critical and secure communications. This investment was important for the Company’s Electronics & Software segment because this segment had been partnering with Quortus to integrate the Quortus Private LTE core in existing and new products for that segment’s federal business, network extensions, and private networks for enterprises. The Company’s investment represented less than 10% of the outstanding equity of Quortus Ltd. The Company uses the cost method to account for investments in common stock of entities such as Quortus if the Company does not have the ability to exercise significant influence over the operating and financial matters of the entity. The Company also uses the cost method to account for its investments that are not in the form of common stock or in-substance common stock in entities if the Company does not have the ability to exercise significant influence over the entity’s operating and financial matters. In the fourth quarter of 2021, Quortus was acquired, and the net proceeds were distributed to shareholders. The Company received $650,000 in proceeds and expects to receive an additional $43,000 in 2022. The Company recognized an impairment loss of $206,000 within operating expenses in the accompanying consolidated statement of income (loss) and comprehensive income (loss). |