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FAIR VALUE MEASUREMENTS
 9 Months Ended
Sep. 27, 2020
Fair Value Disclosures [Abstract]  
Fair Value Measurements FAIR VALUE MEASUREMENTS
The accounting standard for fair value measurements defines fair value, and establishes a market-based framework or hierarchy for measuring fair value. The standard is applicable whenever assets and liabilities are measured at fair value. The fair value hierarchy established prioritizes the inputs used in valuation techniques into three levels as follows:
 
Level 1 - Observable inputs - quoted prices in active markets for identical assets and liabilities;

Level 2 - Observable inputs other than the quoted prices in active markets for identical assets and liabilities - includes quoted prices for similar instruments, quoted prices for identical or similar instruments in inactive markets, and amounts derived from valuation models where all significant inputs are observable in active markets, for substantially the full term of the financial instrument; and

Level 3 - Unobservable inputs - includes amounts derived from valuation models where one or more significant inputs are unobservable and require us to develop relevant assumptions.
 
The following table summarizes the financial assets and liabilities measured at fair value on a recurring basis and the level they fall within the fair value hierarchy:
Amounts Recorded at Fair Value  Financial Statement Classification  Fair Value
Hierarchy 		 September 27,
2020		December 29,
2019
Interest rate swapOther long-term liabilitiesLevel 2$154,482 $— 
Contingent consideration, net Contingent consideration, net - current and long-term Level 3$2,243,187 $2,174,378 

The changes in the Level 2 fair value measurements from December 29, 2019 to September 27, 2020 relates to entering into an interest rate swap agreement. Key inputs in determining the fair value of the interest rate swap as of September 27, 2020 and December 29, 2019 are quoted prices from BMO (See Note 7).
The changes in the Level 3 fair value measurements from December 29, 2019 to September 27, 2020 relates to accretion and gains included in earnings. Key inputs in determining the fair value of the contingent consideration as of September 27, 2020 and December 29, 2019 included the discount rate of 7.5% as well as management's estimates of future sales volumes and earning before income taxes, depreciation, and amortization "EBITDA."