. FAIR VALUES

We have not changed our valuation techniques in measuring the fair value of any financial assets and liabilities during the period. We recognize transfers between levels within the fair value hierarchy, if any, at the end of each quarter. There were no transfers between levels during the periods presented. As of January 2, 2016 and October 3, 2015, we did not have any assets or liabilities valued based on Level 3 valuations.

Financial assets and liabilities measured at fair value as of January 2, 2016 and October 3, 2015 are summarized below (in thousands):



	Aggregate Fair Value			Quoted Prices in Active Markets for Identical Assets			Significant Other Observable Inputs			Aggregate Fair Value			Quoted Prices in Active Markets for Identical Assets		Significant Other Observable Inputs
	January 2, 2016									October 3, 2015
				(Level 1)			(Level 2)						(Level 1)		(Level 2)
Assets:
Cash equivalents:
Money market fund deposits	$	21,763		$	21,763		$	—		$	8,297		$	8,297	$	—
Commercial paper ⁽²⁾	9,694			—			9,694			—			—		—
Short-term investments:
U.S. Treasury and agency obligations ⁽²⁾	$	147,487		$	—		$	147,487		$	150,748		$	—	$	150,748
Corporate notes and obligations ⁽²⁾	19,803			—			19,803			17,942			—		17,942
Commercial paper ⁽²⁾	9,497			—			9,497			9,740			—		9,740
Equity securities ⁽¹⁾	17,044			17,044			—			16,478			16,478		—
Prepaid and other assets:
Foreign currency contracts ⁽³⁾	1,780			—			1,780			258			—		258
Mutual funds — Deferred comp and supplemental plan ⁽⁴⁾	14,815			14,815			—			13,891			13,891		—
Total	$	241,883		$	53,622		$	188,261		$	217,354		$	38,666	$	178,688

Liabilities:
Other current liabilities:
Foreign currency contracts ⁽³⁾	$	(384	)	$	—		$	(384	)	$	(239	)	$	—	$	(239	)
Short term borrowings	(5,000		)	(5,000		)	—			—			—		—
Total	$	236,499		$	48,622		$	187,877		$	217,115		$	38,666	$	178,449

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(1)	Valuations are based upon quoted market prices.

(2)

Valuations are based upon quoted market prices in active markets involving similar assets. The market inputs used to value these instruments generally consist of market yields, reported trades, broker/dealer quotes or alternative pricing sources with reasonable levels of price transparency. Pricing sources include industry standard data providers, security master files from large financial institutions, and other third party sources which are input into a distribution-curve-based algorithm to determine a daily market value. This creates a “consensus price” or a weighted average price for each security.

(3)

The principal market in which we execute our foreign currency contracts is the institutional market in an over-the-counter environment with a relatively high level of price transparency. The market participants usually are large commercial banks. Our foreign currency contracts’ valuation inputs are based on quoted prices and quoted pricing intervals from public data sources and do not involve management judgment. At January 2, 2016, prepaid expenses and other assets include $1,780 non-designated forward contracts and $0 foreign currency contracts designated for cash flow hedges, respectively; other current liabilities include $380 non-designated forward contracts and $4 foreign currency contracts designated for cash flow hedges, respectively. At October 3, 2015, prepaid expenses and other assets include $217 non-designated forward contracts and $41 foreign currency contracts designated for cash flow hedges, respectively; other current liabilities include $239 non-designated forward contracts and $0 foreign currency contracts designated for cash flow hedges, respectively. See Note 6, "Derivative Instruments and Hedging Activities".


(4)	The fair value of mutual funds is determined based on quoted market prices. Securities traded on a national exchange are stated at the last reported sales price on the day of valuation; other securities traded in over-the-counter markets and listed securities for which no sale was reported on that date are stated as the last quoted bid price.