; ForgeRock, Inc. Annual report pursuant to Section 13 and 15(d)

Annual report pursuant to Section 13 and 15(d)

Summary of Significant Accounting Policies (Tables)

v3.22.4
Summary of Significant Accounting Policies (Tables)
 12 Months Ended
Dec. 31, 2022
Accounting Policies [Abstract]  
Schedule of Bad Debt Allowances
Allowance for credit losses consisted of the following (in thousands):
December 31,
2022 2021
Balance, beginning of period $ 34  $ 159 
Additions 410  34 
Reversal of credit loss —  (133)
Write-offs —  (26)
Balance, end of period $ 444  $ 34 
Schedule of Property and Equipment, Net
Estimated useful lives of fixed assets are as follows:
Computer hardware
3-4 years
Furniture, fixtures and equipment
5-7 years
Leasehold improvements
5-10 years
Property and equipment consisted of the following (in thousands):
December 31,
2022 2021
Property and equipment
Computer equipment and software
 $ 5,332  $ 5,305 
Furniture and fixtures
 963  959 
Leasehold improvements
 2,482  2,735 
Total property and equipment
 8,777  8,999 
Less: accumulated depreciation and amortization
 (5,927) (6,536)
Property and equipment, net
 $ 2,850  $ 2,463 
Summary of Valuation Assumptions of Stock Options
The following assumptions were used to estimate the fair value of stock options granted during the years ended December 31, 2021 and 2020:
2021 2020
Common stock fair value
$4.97 to $27.49
$4.83 to $7.86
Volatility
50.2% to 51.6%
41.7% to 50.4%
Expected term (in years)
 6.04 6.06
Risk-free interest rate
0.52% to 1.08%
0.32% to 1.49%
Expected dividends
 0% 0%
Weighted-average grant date fair value
 $8.86 $2.29
Summary of Valuation Assumptions of ESPP
The following assumptions were used to estimate the fair value of ESPP purchase rights using a Black-Scholes option pricing model:
Year ended December 31,
2022
Volatility
51.47% to 58.50%
Expected term (in years)
0.5 to 1.0
Risk-free interest rate
1.54% to 2.07%
Expected dividends
 0%