Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. Valuation techniques must maximize the use of observable inputs and minimize the use of unobservable inputs. When determining fair value measurements for assets and liabilities recorded at fair value, we consider the principal or most advantageous market in which we would transact and consider assumptions that market participants would use in pricing the asset or liability.

The classification of a financial asset or liability within the hierarchy is based upon the lowest level input that is significant to the fair value measurement as of the measurement date as follows:

The following table presents information about our financial assets that are measured at fair value and indicates the fair value hierarchy of the valuation inputs used (dollars in thousands) as of:


	December 31, 2022
	Fair Value		Cash and Cash Equivalents		Marketable Securities
Level 1:
Money market funds $46,278 at cost (a)	$	46,275	$	46,275	$	-
Government securities $5,458 at cost (b)		5,372		-		5,372
Level 2:
Government securities $4,049 at cost (b)		4,025		-		4,025
Time deposits, $1,934 at cost (a)		1,934		1,934		-
Commercial paper, $2,467 at cost (b)		2,467		-		2,467
Corporate bonds, $17,940 at cost (b)		17,717		-		17,717
Debt securities, $2,100 at cost (c)		2,100		-		-
Total assets	$	79,890	$	48,209	$	29,581


	September 30, 2022
	Fair Value		Cash and Cash Equivalents		Marketable Securities
Level 1:
Money market funds $59,146 at cost (a)	$	59,138	$	59,138	$	-
Government securities $4,976 at cost (b)		4,892		-		4,892
Level 2:
Government securities $2,377 at cost (b)		2,361		-		2,361
Time deposits, $1,472 at cost (a)		1,472		1,472		-
Commercial paper, $7,648 at cost (b)		7,647		-		7,647
Corporate bonds, $17,328 at cost (b)		17,001		-		17,001
Debt securities, $2,000 at cost (c)		2,000		-		-
Total assets	$	94,511	$	60,610	$	31,901

(a)

Money market funds and other highly liquid investments with original maturities of 90 days or less are included within Cash and cash equivalents in the Condensed Consolidated Balance Sheets.

(b)

Government securities, commercial paper and corporate bonds with original maturities greater than 90 days are included within Marketable securities in the Condensed Consolidated Balance Sheets and classified as current or noncurrent based upon whether the maturity of the financial asset is less than or greater than 12 months.

(c)

Debt Securities are included within Prepaid and other current assets in the Condensed Consolidated Balance Sheets and classified as current given the maturity of the financial asset is less than 12 months.

During the three months ended December 31, 2022, we recorded unrealized gains related to our marketable securities of $0.1 million within Accumulated other comprehensive loss. During the three months ended December 31, 2021, we recorded an immaterial amount of unrealized losses related to our marketable securities within Accumulated other comprehensive loss.

The carrying amounts of certain financial instruments, including cash held in banks, accounts receivable, and accounts payable, approximate fair value due to their short-term maturities and are excluded from the fair value tables above.

Derivative financial instruments are recognized at fair value and are classified within Level 2 of the fair value hierarchy. See Note 6 – Derivative Financial Instruments for additional details.

The estimated fair value of our Long-term debt is determined by Level 2 inputs and is based on observable market data including prices for similar instruments. As of December 31, 2022 and September 30, 2022, the estimated fair value of our Notes was $159.5 million and $155.3 million, respectively. The Notes are recorded at face value less transaction costs on our Condensed Consolidated Balance Sheets. The carrying amount of the Senior Credit Facilities (as defined in Note 14) approximates fair value given the underlying interest rate applied to such amounts outstanding is currently set to the prevailing market rate.

We have non-controlling equity investments in privately held companies. We evaluated the equity investments under the voting model and concluded consolidation was not applicable. We accounted for the investments by electing the measurement alternative for investments without readily determinable fair values and for which we do not have the ability to exercise significant influence. The non-marketable equity securities are carried at cost less any impairment, plus or minus adjustments resulting from observable price changes in orderly transactions for the identical or a similar investment of the same issuer, which is recorded within the Condensed Consolidated Statements of Operations. Investments without readily determinable fair values were $3.1 million as of December 31, 2022 and September 30, 2022, respectively. The investments are included within Other assets on the Condensed Consolidated Balance Sheets. There have been no adjustments to the carrying value of the investments resulting from impairments or observable price changes.