What were the gross unrealized losses recognized in accumulated other comprehensive income (loss) on Exit's available-for-sale securities as of December 31, 2023?
Exit Franchise · 2025 FDDAnswer from 2025 FDD Document
sed on inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities.
Upper Midwest Realty, Inc. d.b.a. Exit Realty Upper Midwest 18 Notes to Financial Statements (continued) December 31, 2024, 2023, and 2022
NOTE 2 – INVESTMENTS AND FAIR VALUE MEASUREMENTS (continued)
Fair values (continued)
The recorded values of accounts receivable, accounts payable, and accrued liabilities approximate fair values due to their short maturities.
Available-for-sale securities
Available-for-sale securities are measured
Source: Item 23 — RECEIPT (FDD pages 42–235)
What This Means (2025 FDD)
According to Exit's 2025 Franchise Disclosure Document, as of December 31, 2023, the gross unrealized losses recognized in accumulated other comprehensive income (loss) on available-for-sale securities totaled $3,417. These securities are investments available-for-sale, consisting of brokered certificates of deposit placed with Thrivent and are carried in the financial statements at fair value.
The accumulated other comprehensive income (loss) reflects changes in assets and liabilities, such as foreign currency translation adjustments, which are reported as a direct adjustment to the equity section of the balance sheet. These items, along with net income, are components of comprehensive income.
For Exit, available-for-sale securities are measured at fair value on a recurring basis using Level 1 inputs, and there were no changes in the methodologies used at December 31, 2023. This means the value is based on readily available market prices. The unrealized losses indicate a decrease in the fair value of these securities compared to their amortized cost at that date.