Page 105 - Aug 2019 BOG Book_Neat

Exhibit D
(Continued)

Note 5 - INVESTMENTS (Continued)

2017
Excess of
Fair Fair Value
Cost Value Over Cost

Balances as of June 30, 2017 $ 6,087,722 $ 7,857,794 $ 1,770,072
Balances as of June 30, 2016 $ 6,081,422 $ 7,790,795 1,709,373

Unrealized gain on investments 60,699
Realized gain for the year 369,484

Gain on investments, net $ 430,183

Interest and dividends earned on investments for the years ended June 30, 2018 and 2017
were $229,361 and $219,772, respectively.

Note 6 - ASSETS MEASURED AT FAIR VALUE

The framework for measuring fair value provides a fair value hierarchy that prioritizes
the inputs to valuation techniques used to measure fair value. The hierarchy gives the
highest priority to unadjusted quoted prices in active markets for identical assets or
liabilities (Level 1) and the lowest priority to unobservable inputs (Level 3). The three
levels of the fair value hierarchy under FASB ASC 820 are described as follows:

Level 1 - Inputs to the valuation methodology are unadjusted quoted prices for
identical assets or liabilities in active markets that the Association has the
ability to access.

Level 2 - Inputs to the valuation methodology include:

 quoted prices for similar assets or liabilities in active markets;

 quoted prices for identical or similar assets or liabilities in inactive
markets;

 inputs other than quoted prices that are observable for the asset or
liability;

 inputs that are derived principally from or corroborated by
observable market data by correlation of other means.

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