SAE Foundation Annual Report 2014 - BDO13

SAE Foundation
Notes to the Financial Statements (Continued)

2. Summary of Significant Accounting Policies (Continued)
Fair Value Measurements (Continued)
The Foundation applies the following fair value hierarchy, which prioritizes the inputs used to
measure fair value into three levels and bases the categorization within the hierarchy upon the
lowest level of input that is available and significant to the fair value measurement:
Level 1 - Quoted prices in active markets for identical assets or liabilities.
Level 2 - Observable inputs other than quoted prices in active markets for identical assets and
liabilities, quoted prices for identical or similar assets or liabilities in inactive markets, or other
inputs that are observable or can be corroborated by observable market data for substantially the
full term of the assets or liabilities.
Level 3 - Inputs that are generally unobservable and typically reflect management's estimates of
assumptions that market participants would use in pricing the asset or liability.
The fair value measurements of the Organization's investments are disclosed in Note 7.
Consideration of Subsequent Events
The Financial Audit Committee of the Board of Directors evaluated subsequent events and
transactions for potential recognition or disclosure in the financial statements through April 20,
2015, the day the financial statements were approved and authorized for issue.

See accompanying independent auditor's report.
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SAE Foundation Annual Report 2014

Table of Contents for the Digital Edition of SAE Foundation Annual Report 2014
