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Table of Contents NETGEAR, INC.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)
Note 3. Balance Sheet Components (in thousands)
Short-Term Investments
The Company’s marketable securities are classified as available-for-
sale consisting of government securities and trading securities consisting of
mutual funds. All the securities are with an original maturity or remaining maturity at the time of purchase of greater than three months
and no more
than 12 months . Accordingly, none of the short-term investments have unrealized losses greater than 12 months.
Cost Method Investments
As of December 31, 2013 and December 31, 2012 , the carrying value of the Company's cost method investments was $1.3 million
. These
investments are included in other non-
current assets in the consolidated balance sheets and are carried at cost, adjusted for any impairment, because the
Company does not have a controlling interest and does not have the ability to exercise significant influence over these companies. The Company
monitors these investments for impairment on a quarterly basis, and adjusts carrying value for any impairment charges recognized. There were
no
impairments recognized in the years ended December 31, 2013 and December 31, 2012
. Realized gains and losses on these investments are reported in
other income (expense), net in the consolidated statements of operations. In the third fiscal quarter of 2012 the Company recognized a gain of
$3.1
million on the partial sale of one of its cost method investments. No other gains or losses were recorded in the years ended December 31, 2013
and
December 31, 2012 .
Accounts receivable, net
72
As of
December 31, 2013
December 31, 2012
Cost
Unrealized
Gain
Unrealized
Loss
Estimated Fair
Value
Cost
Unrealized
Gain
Unrealized
Loss
Estimated Fair
Value
U.S. Treasuries
$
104,595
$
7
$
(1
)
$
104,601
$
225,016
$
48
$
(2
)
$
225,062
Certificates of Deposits
159
—
—
159
2,783
—
—
2,783
Mutual Funds
385
—
—
385
—
—
—
—
Total
$
105,139
$
7
$
(1
)
$
105,145
$
227,799
$
48
$
(2
)
$
227,845
As of
December 31,
2013
December 31,
2012
Gross accounts receivable
$
289,479
276,084
Allowance for doubtful accounts
(1,255
)
(1,256
)
Allowance for sales returns
(17,467
)
(17,031
)
Allowance for price protection
(4,273
)
(1,783
)
Total allowances
(22,995
)
(20,070
)
Total accounts receivable, net
$
266,484
256,014