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Investments in Marketable Securities
 12 Months Ended
Jul. 31, 2022
Investments, Debt and Equity Securities [Abstract]  
INVESTMENTS IN MARKETABLE SECURITIES

NOTE 7 – INVESTMENTS IN MARKETABLE SECURITIES

 

The Company has classified its investments in corporate bonds as available-for-sale securities. These securities are carried at estimated fair value with unrealized holding gains and losses included in accumulated other comprehensive loss in stockholders’ equity until realized. Investment transactions are recorded on their trade date. Gains and losses on marketable security transactions are reported on the specific-identification method. Interest income is accrued daily and adjusted for amortization of premiums and accretion of discounts on the corporate bonds.

 

The amortized cost, gross unrealized holding gains, gross unrealized holding losses, and fair value for available-for-sale securities as of July 31, 2022 are as follows:

 

July 31, 2022  Amortized cost   Gross
unrealized
gains		   Gross
unrealized
(losses)		   Fair value 
   (in thousands) 
Available-for-sale securities:                
Corporate bonds  $36,761   $81   $(144)  $36,698 
Total available-for-sale securities  $36,761   $81   $(144)  $36,698 

 

The Company did not hold any investments in corporate bonds as of July 31, 2021.

 

During the year ended July 31, 2022, the Company reclassified approximately $45 thousand of unrealized losses out of accumulated other comprehensive loss related to maturities of available-for-sale securities into consolidated net loss in the consolidated statements of operations and comprehensive loss in Realized loss on available-for-sale securities.

 

Maturities of corporate bonds held as of July 31, 2022 were all due within one year.

 

Marketable securities in an unrealized loss position as of July 31, 2022 were not deemed impaired at acquisition and subsequent declines in fair value are not deemed attributed to declines in credit quality. The Company believes that it is more likely than not that it will receive a full recovery of par value on the securities, although there can be no assurance that such recovery will occur.