Fair Value Measures (Tables)

6 Months Ended

Feb. 28, 2022

Fair Value Disclosures [Abstract]

Schedule of assets and liabilities measured at fair value on a recurring basis

The following tables show, by level within the fair value hierarchy, our assets and liabilities that are measured at fair value on a recurring basis at February 28, 2022 and August 31, 2021. We did not have any transfers between levels of fair value measurements during the periods presented.

	Fair Value Measurements at February 28, 2022
(in thousands)	Level 1		Level 2		Total
Assets
Corporate money market funds (1)	$	167,562	$	—	$	167,562
Mutual funds (2)	—		34,984		34,984
Derivative instruments (3)	—		4,592		4,592
Total assets measured at fair value	$	167,562	$	39,576	$	207,138
Liabilities
Derivative instruments (3)	$	—	$	2,110	$	2,110
Total liabilities measured at fair value	$	—	$	2,110	$	2,110

	Fair Value Measurements at August 31, 2021
(in thousands)	Level 1		Level 2		Total
Assets
Corporate money market funds (1)	$	232,519	$	—	$	232,519
Mutual funds (2)	—		35,984		35,984
Derivative instruments (3)	—		1,384		1,384
Total assets measured at fair value	$	232,519	$	37,368	$	269,887
Liabilities
Derivative instruments (3)	$	—	$	4,181	$	4,181
Total liabilities measured at fair value	$	—	$	4,181	$	4,181

1.Our corporate money market funds are readily convertible into cash and the net asset value of each fund on the last day of the quarter is used to determine its fair value. Our corporate money market funds are classified as Level 1 assets and are included in Cash and cash equivalents within the Consolidated Balance Sheets.

2.Our mutual funds have a fair value based on the fair value of the underlying investments held by the mutual funds, allocated to each share of the mutual fund using a net asset value approach. The fair value of the underlying investments is based on observable inputs. Our mutual funds are classified as Level 2 and are included in Investments (short-term) within the Consolidated Balance Sheets.

3.Our derivative instruments include our foreign exchange forward contracts and interest rate swap agreements. We utilize the income approach to measure fair value for our foreign exchange forward contracts. The income approach uses pricing models that rely on market observable inputs such as spot, forward and interest rates, as well as credit default swap spreads, and are classified as Level 2 assets. To estimate fair value for the interest rate swap agreement, we utilize a present value of future cash flows, leveraging a model-derived valuation that uses Level 2 observable inputs such as interest rate yield curves. Refer to Note 6, Derivative Instruments, for more information on our derivative instruments designed as cash flow hedges and their classification within the Consolidated Balance Sheets.