Annual report pursuant to Section 13 and 15(d)

Summary of Significant Accounting Policies (Tables)

v3.19.1
Summary of Significant Accounting Policies (Tables)
12 Months Ended
Dec. 31, 2018
Accounting Policies [Abstract]  
Schedule of Fair Value of Financial Instruments Measurements

The fair value of financial instruments measured on a recurring basis is as follows:


 

 

As of December 31, 2018

 

Description

 

Total

 

 

Level 1

 

 

Level 2

 

 

Level 3

 

Assets:

 

 

 

 

 

 

 

 

 

 

 

 

Short-term investments

 

$

5,570,027

 

 

$

5,750,027

 

 

 

—

 

 

 

—

 

Liabilities:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Contingent consideration

 

 

3,105,225

 

 

 

—

 

 

 

—

 

 

$

3,105,225

 


 

 

As of December 31, 2017

 

Description

 

Total

 

 

Level 1

 

 

Level 2

 

 

Level 3

 

Liabilities:

 

 

 

 

 

 

 

 

 

 

 

 

Contingent consideration

 

$

2,609,289

 

 

 

—

 

 

 

—

 

 

$

2,609,289

 

Schedule of Level 3 Fair Value Measurements

The following table summarizes the change in fair value, as determined by Level 3 inputs, for all assets and liabilities using unobservable Level 3 inputs for the year ended December 31, 2018:


 

 

Contingent Consideration

 

Balance at December 31, 2016

 

$

—

 

Acquisition of Pelican

 

 

2,385,000

 

Change in fair value

 

 

224,289

 

Balance at December 31, 2017

 

 

2,609,289

 

Change in fair value

 

 

495,936

 

Balance at December 31, 2018

 

$

3,105,225

 

Schedule of Fair Value Measurements of Contingent Consideration

The following table presents quantitative information about the inputs and valuation methodologies used for the Company’s fair value measurements of contingent consideration classified as Level 3 as of December 31, 2018:


 

 

Valuation
Methodology

 

Significant
Unobservable Input

 

Weighted Average
(range, if applicable)

 

 

 

 

 

 

 

Contingent Consideration

 

Probability weighted
income approach

 

Milestone dates

 

2019-2025

 

 

 

 

Discount rate

 

13.82% to 3.66%

 

 

 

 

Probability of occurrence

 

23% to 86%