Hologic, Inc.  Notes to Consolidated Financial Statements (continued) (In thousands, except per share data) purchased products that the Company continues to sell as well as utilize to enhance and incorporate into the Company’s existing products.
The intangible assets are expected to be amortized on a straight-line basis over the expected useful lives as the anticipated undiscounted cash flows are relatively consistent over the expected useful lives of the intangible assets.
The estimated $600 of purchase price allocated to in-process research and development projects related to AEG’s Organic Photoconductor Coating and Selenium product lines.
The deferred income tax liability relates to the tax effect of acquired identifiable intangible assets, and fair value adjustments to acquired inventory, land, building and related improvements as such amounts are not deductible for tax purposes.
The Company had an existing relationship with AEG as a supplier of inventory items.
The supply agreement was entered into in prior years at arm’s length terms and conditions.
No minimum purchase requirements existed and the pricing was consistent with other vendor agreements.
Acquisition of R2 Technology, Inc.  On July 13, 2006, the Company completed the acquisition of R2 Technology, Inc.  (R2) pursuant to an Agreement and Plan of Merger dated April 24, 2006.
The results of operations for R2 have been included in the Company’s consolidated financial statements from the date of acquisition as part of its Mammography/Breast Care business segment.
R2, previously located in Santa Clara, California, develops and sells computer-aided detection technology and products (CAD), an innovative technology that assists radiologists in the early detection of breast cancer.
The aggregate purchase price for R2 of approximately $220,600 consisted of approximately 4,400 shares of Hologic Common Stock valued at $205,500, cash paid of $6,900, debt assumed of $5,700 and approximately $2,500 for acquisition related fees and expenses.
The Company determined the fair value of the shares issued in connection with the acquisition in accordance with EITF Issue No.99-12, Determination of the Measurement Date for the Market Price of Acquirer Securities Issued in a Purchase Business Combination.
The components and allocation of the purchase price, consists of the following approximate amounts:
## Table 0 ##
The Company finalized and completed a plan to restructure certain of R2’s historical activities.
As of the acquisition date the Company recorded a liability of approximately $798 in accordance with EITF Issue No.95-3, Recognition of Liabilities in Connection with a Purchase Business Combination, related to the termination of certain employees and loss related to the abandonment of certain lease space under this plan.
All amounts under this plan have been paid as of September 29, 2007.
The Company reduced goodwill related to the R2 acquisition in the amount of approximately $400 during the year ended September 29, 2007.
The reduction was primarily related to a change in the preliminary valuation of certain assets and liabilities acquired based on information received during the year.
The final purchase price allocations were completed within one year of the
The following table summarizes the notional or contractual amounts and net fair value of financial derivatives at December 31, 2014 and December 31, 2013.
Table 55: Financial Derivatives Summary
## Table 1 ##
(a) Represents the net fair value of assets and liabilities.2013 VERSUS 2012 Consolidated Income Statement Review Summary Results Net income for 2013 was $4.2 billion, or $7.36 per diluted common share, compared with $3.0 billion, or $5.28 per diluted common share, for 2012.
The increase was driven by an 8% decline in noninterest expense, a 3% increase in revenue and lower provision for credit losses.
The decline in noninterest expense reflected our continued focus on disciplined expense management.
Higher revenue in the comparison was driven by improvement in the provision for residential mortgage repurchase obligations, strong client fee income and higher gains on asset valuations, partially offset by lower net interest income and lower gains on asset sales.
Net Interest Income Net interest income decreased by $493 million, or 5%, in 2013 compared with 2012, reflecting a decline in purchase accounting accretion in the comparison, the impact of lower yields on loans and securities, and the impact of lower securities balances.
These decreases were partially offset by higher loan balances, reflecting commercial and consumer loan growth over the period, and lower rates paid on borrowed funds and deposits.
Total purchase accounting accretion was $.8 billion for 2013 compared to $1.1 billion in 2012.
Net interest margin declined 37 basis points in 2013 compared with 2012 due to lower purchase accounting accretion and lower yields on interest-earning assets, which decreased 48 basis points, partially offset by a decrease in the weighted-average rate paid on total interest-bearing liabilities of 14 basis points.
The decrease in the yield on interest-earning assets was primarily due to lower rates on new loans and purchased securities in the ongoing low interest rate environment, as well as the impact of higher levels of interest-earning deposits with banks maintained in light of anticipated regulatory requirements.
The decrease in the rate paid on interest-bearing liabilities was primarily due to redemptions of higher-rate bank notes and senior debt and subordinated debt, including the redemption of trust preferred and hybrid capital securities.
Noninterest Income Noninterest income increased to $6.9 billion in 2013 compared to $5.9 billion in 2012, due to higher residential mortgage revenue, which was driven by improvement in the provision for residential mortgage repurchase obligations, strong client fee income and higher gains on asset valuations, partially offset by lower gains on asset sales.
Noninterest income as a percentage of total revenue was 43% for 2013, up from 38% for 2012.
Asset management revenue increased to $1.3 billion in 2013 compared to $1.2 billion in 2012, driven by higher earnings from our BlackRock investment, stronger average equity markets and strong sales resulting in positive net flows, after adjustments for cyclical client activities.
Discretionary client assets under management increased to $127 billion at December 31, 2013 compared with $112 billion at December 31, 2012.
The increase in consumer service fees to $1.3 billion in 2013 compared to $1.1 billion in 2012 was due to growth in brokerage fees and the impact of higher customer-initiated fee based transactions.
Corporate services revenue increased $44 million, or 4%, to $1.2 billion in 2013 compared with 2012.
This increase included the impact of higher valuation gains from rising interest rates on net commercial mortgage servicing rights valuations, which were gains of $68 million in 2013 compared
prior to recovery of its amortized cost basis.
In this situation, the amount of loss recognized in income is equal to the difference between the fair value and the amortized cost basis of the security.
Even if we do not expect to sell the security, we must evaluate the expected cash flows to be received to determine if we believe a credit loss has occurred.
In the event of a credit loss, only the amount of impairment associated with the credit loss is recognized in income.
The portion of the unrealized loss relating to other factors, such as liquidity conditions in the market or changes in market interest rates, is recorded in accumulated other comprehensive income (loss).
The security-level assessment is performed on each security, regardless of the classification of the security as available for sale or held to maturity.
Our assessment considers the security structure, recent security collateral performance metrics if applicable, external credit ratings, failure of the issuer to make scheduled interest or principal payments, our judgment and expectations of future performance, and relevant independent industry research, analysis and forecasts.
Results of the periodic assessment are reviewed by a cross-functional senior management team representing Asset & Liability Management, Finance, and Market Risk Management.
The senior management team considers the results of the assessments, as well as other factors, in determining whether the impairment is other-than-temporary.
Substantially all of the credit impairment we have recognized relates to non-agency residential mortgage-backed securities and asset-backed securities collateralized by first-lien and secondlien non-agency residential mortgage loans.
Potential credit losses on these securities are evaluated on a security-by-security basis.
Collateral performance assumptions are developed for each security after reviewing collateral composition and collateral performance statistics.
This includes analyzing recent delinquency roll rates, loss severities, voluntary prepayments and various other collateral and performance metrics.
This information is then combined with general expectations on the housing market, employment and other macroeconomic factors to develop estimates of future performance.
Security level assumptions for prepayments, loan defaults and loss given default are applied to each non-agency residential mortgage-backed security and asset-backed security collateralized by first-lien and second-lien non-agency residential mortgage loans using a third-party cash flow model.
The thirdparty cash flow model then generates projected cash flows according to the structure of each security.
Based on the results of the cash flow analysis, we determine whether we expect that we will recover the amortized cost basis of our security.
The following table provides detail on the significant assumptions used to determine credit impairment for non-agency residential mortgage-backed and asset-backed securities collateralized by first-lien and second-lien non-agency residential mortgage loans.
Table 77: Credit Impairment Assessment Assumptions – Non-Agency Residential Mortgage-Backed and AssetBacked Securities
## Table 2 ##
(a) Calculated by weighting the relevant assumption for each individual security by the current outstanding cost basis of the security.
The following table presents a rollforward of the cumulative OTTI credit losses recognized in earnings for all debt securities for which a portion of an OTTI loss was recognized in Accumulated other comprehensive income (loss).
Table 78: Rollforward of Cumulative OTTI Credit Losses Recognized in Earnings
## Table 3 ##
securities, debt obligations, short-term investments, and other marketable securities.
Due to the nature of these securities, there are no unfunded commitments or redemption restrictions.  . Limited partnerships are valued by investment managers based on recent financial information used to estimate fair value.
Other investments held by the pension plan include derivative financial instruments and real estate, which are recorded at estimated fair value as determined by third-party appraisals and pricing models, and group annuity contracts, which are measured at fair value by discounting the related cash flows based on current yields of similar instruments with comparable durations considering the credit-worthiness of the issuer.
These methods may result in fair value calculations that may not be indicative of net realizable values or future fair values.
Furthermore, while the pension plan believes its valuation methods are appropriate and consistent with other market participants, the use of different methodologies or assumptions to determine the fair value of certain financial instruments could result in a different fair value measurement at the reporting date.
The following table sets forth by level, within the fair value hierarchy, the Plan’s assets at fair value as of December 31, 2014 and 2013.
Table 111: Pension Plan Assets – Fair Value Hierarchy
## Table 4 ##
Fair Value Measurements Using:
## Table 5 ##
(a) Corporate debt includes $63 million and $84 million of non-agency mortgage-backed securities as of December 31, 2014 and 2013, respectively.
(b) The benefit plans own commingled funds that invest in equity securities.
The funds seek to mirror the benchmark of the S&P 500 Index, Morgan Stanley Capital International ACWI X US Index, Morgan Stanley Capital EAFE Index, Morgan Stanley Capital Emerging Markets Index and the NCREIF ODCE NOF Index with the exception of the BlackRock Index Fund.
(c) The benefit plans own commingled funds that invest in equity and fixed income securities.
The funds seek to mirror the performance of the S&P 500 Index, Russell 3000 Index, Morgan Stanley Capital International ACWI X US Index and the Dow Jones U. S.  Select Real Estate Securities Index.
The commingled fund that holds fixed income securities invests in domestic investment grade securities and seeks to mimic the performance of the Barclays Aggregate Bond Index.
Resale and Repurchase Agreements We enter into repurchase and resale agreements where we transfer investment securities to/from a third party with the agreement to repurchase/resell those investment securities at a future date for a specified price.
Repurchase and resale agreements are treated as collateralized financing transactions for accounting purposes and are generally carried at the amounts at which the securities will be subsequently reacquired or resold, including accrued interest.
Our policy is to take possession of securities purchased under agreements to resell.
We monitor the market value of securities to be repurchased and resold and additional collateral may be obtained where considered appropriate to protect against credit exposure.
Repurchase and resale agreements are typically entered into with counterparties under industry standard master netting agreements which provide for the right to setoff amounts owed to one another with respect to multiple repurchase and resale agreements under such master netting agreement (referred to as netting arrangements) and liquidate the purchased or borrowed securities in the event of counterparty default.
In order for an arrangement to be eligible for netting under GAAP, we must obtain the requisite assurance that the offsetting rights included in the master netting agreement would be legally enforceable in the event of bankruptcy, insolvency, or a similar proceeding of such third party.
Enforceability is evidenced by obtaining a legal opinion that supports, with sufficient confidence, the enforceability of the master netting agreement in bankruptcy.
In accordance with the disclosure requirements of ASU 2011- 11, Balance Sheet (Topic 210): Disclosures about Offsetting Assets and Liabilities, Table 154 shows the amounts owed under resale and repurchase agreements and the securities collateral associated with those agreements where a legal opinion supporting the enforceability of the offsetting rights has been obtained.
We do not present resale and repurchase agreements entered into with the same counterparty under a legally enforceable master netting agreement on a net basis on our Consolidated Balance Sheet or within Table 154.
The amounts reported in Table 154 exclude the fair value adjustment on the structured resale agreements of $7 million and $11 million at December 31, 2014 and December 31, 2013, respectively, that we have elected to account for at fair value.
Refer to Note 7 Fair Value for additional information regarding the structured resale agreements at fair value.
Refer to Note 15 Financial Derivatives for additional information related to offsetting of financial derivatives.
Table 154: Resale and Repurchase Agreements Offsetting
## Table 6 ##
In millions

<table><tr><td>Net tangible assets acquired as of July 13, 2006</td><td>$1,200</td></tr><tr><td>In-process research and development</td><td>10,200</td></tr><tr><td>Developed technology and know how</td><td>39,500</td></tr><tr><td>Customer relationship</td><td>15,700</td></tr><tr><td>Trade name</td><td>3,300</td></tr><tr><td>Order Backlog</td><td>800</td></tr><tr><td>Deferred income taxes</td><td>4,400</td></tr><tr><td>Goodwill</td><td>145,500</td></tr><tr><td>Estimated Purchase Price</td><td>$220,600</td></tr></table>
<table><tr><td></td><td colspan="2">December 31, 2014</td><td colspan="2">December 31, 2013</td></tr><tr><td>In millions</td><td>Notional/ Contractual Amount</td><td>Net Fair Value (a)</td><td>Notional/ Contractual Amount</td><td>Net Fair Value (a)</td></tr><tr><td> Derivatives designated as hedging instruments under GAAP</td><td></td><td></td><td></td><td></td></tr><tr><td>Total derivatives designated as hedging instruments</td><td>$49,061</td><td>$1,075</td><td>$36,197</td><td>$825</td></tr><tr><td> Derivatives not designated as hedging instruments under GAAP</td><td></td><td></td><td></td><td></td></tr><tr><td>Total derivatives used for residential mortgage banking activities</td><td>$76,102</td><td>$409</td><td>$119,679</td><td>$330</td></tr><tr><td>Total derivatives used for commercial mortgage banking activities</td><td>26,290</td><td>26</td><td>53,149</td><td>-12</td></tr><tr><td>Total derivatives used for customer-related activities</td><td>183,474</td><td>122</td><td>169,534</td><td>138</td></tr><tr><td>Total derivatives used for other risk management activities</td><td>5,390</td><td>-425</td><td>2,697</td><td>-422</td></tr><tr><td>Total derivatives not designated as hedging instruments</td><td>$291,256</td><td>$132</td><td>$345,059</td><td>$34</td></tr><tr><td>Total Derivatives</td><td>$340,317</td><td>$1,207</td><td>$381,256</td><td>$859</td></tr></table>
<table><tr><td>December 31, 2014</td><td>Range</td><td>Weighted-average (a)</td></tr><tr><td>Long-term prepayment rate (annual CPR)</td><td></td><td></td></tr><tr><td>Prime</td><td>7 – 20%</td><td>13%</td></tr><tr><td>Alt-A</td><td>5 – 12</td><td>6</td></tr><tr><td>Option ARM</td><td>3 – 6</td><td>3</td></tr><tr><td>Remaining collateral expected to default</td><td></td><td></td></tr><tr><td>Prime</td><td>0 – 32%</td><td>13%</td></tr><tr><td>Alt-A</td><td>6 – 50</td><td>27</td></tr><tr><td>Option ARM</td><td>11 –53</td><td>36</td></tr><tr><td>Loss severity</td><td></td><td></td></tr><tr><td>Prime</td><td>20 – 70%</td><td>41%</td></tr><tr><td>Alt-A</td><td>30 – 83</td><td>60</td></tr><tr><td>Option ARM</td><td>45 – 71</td><td>62</td></tr></table>
<table><tr><td>Year ended December 31In millions</td><td>2014</td><td>2013</td></tr><tr><td>Balance at beginning of period</td><td>$-1,160</td><td>$-1,201</td></tr><tr><td>Loss where impairment was not previously recognized</td><td>-6</td><td></td></tr><tr><td>Additional loss where credit impairment was previously recognized</td><td>-5</td><td>-16</td></tr><tr><td>Reduction due to credit impaired securities sold or matured</td><td>7</td><td>57</td></tr><tr><td>Balance at end of period</td><td>$-1,164</td><td>$-1,160</td></tr></table>
<table><tr><td></td><td colspan="4">Fair Value Measurements Using:</td></tr><tr><td>In millions</td><td>December 312014Fair Value</td><td>Quoted Prices in Active Markets ForIdentical Assets (Level 1)</td><td>SignificantOtherObservableInputs(Level 2)</td><td>SignificantUnobservableInputs(Level 3)</td></tr><tr><td>Money market funds</td><td>$121</td><td>$121</td><td></td><td></td></tr><tr><td>U.S. government and agency securities</td><td>294</td><td>147</td><td>$147</td><td></td></tr><tr><td>Corporate debt (a)</td><td>648</td><td></td><td>638</td><td>$10</td></tr><tr><td>Common stock</td><td>1,041</td><td>1,040</td><td>1</td><td></td></tr><tr><td>Preferred stock</td><td>6</td><td></td><td>6</td><td></td></tr><tr><td>Mutual funds</td><td>220</td><td>2</td><td>218</td><td></td></tr><tr><td>Interest in Collective Funds (b)</td><td>1,698</td><td></td><td>1,589</td><td>109</td></tr><tr><td>Limited partnerships</td><td>274</td><td></td><td>2</td><td>272</td></tr><tr><td>Other</td><td>55</td><td>-4</td><td>59</td><td></td></tr><tr><td>Total</td><td>$4,357</td><td>$1,306</td><td>$2,660</td><td>$391</td></tr></table>
<table><tr><td></td><td colspan="4">Fair Value Measurements Using:</td></tr><tr><td>In millions</td><td>December 312013Fair Value</td><td>Quoted Prices inActive MarketsFor IdenticalAssets (Level 1)</td><td>SignificantOtherObservableInputs(Level 2)</td><td>SignificantUnobservableInputs(Level 3)</td></tr><tr><td>Money market funds</td><td>$130</td><td>$130</td><td></td><td></td></tr><tr><td>U.S. government and agency securities</td><td>316</td><td>192</td><td>$124</td><td></td></tr><tr><td>Corporate debt (a)</td><td>751</td><td></td><td>738</td><td>$13</td></tr><tr><td>Common stock</td><td>1,055</td><td>1,053</td><td>2</td><td></td></tr><tr><td>Preferred Stock</td><td>15</td><td></td><td>15</td><td></td></tr><tr><td>Mutual funds</td><td>199</td><td>4</td><td>195</td><td></td></tr><tr><td>Interest in Collective Funds (c)</td><td>1,572</td><td></td><td>1,474</td><td>98</td></tr><tr><td>Limited partnerships</td><td>184</td><td></td><td>2</td><td>182</td></tr><tr><td>Other</td><td>30</td><td></td><td>30</td><td></td></tr><tr><td>Total</td><td>$4,252</td><td>$1,379</td><td>$2,580</td><td>$293</td></tr></table>
<table><tr><td>In millions</td><td>GrossResale Agreements</td><td>AmountsOffsetonthe Consolidated Balance Sheet</td><td>NetResale Agreements (a) (b)</td><td>Securities CollateralHeld Under Master Netting Agreements (c)</td><td>NetAmounts (b)</td></tr><tr><td>Resale Agreements</td><td></td><td></td><td></td><td></td><td></td></tr><tr><td> December 31, 2014</td><td>$1,646</td><td></td><td>$1,646</td><td>$1,569</td><td>$77</td></tr><tr><td>December 31, 2013</td><td>1,542</td><td></td><td>1,542</td><td>1,453</td><td>89</td></tr></table>

Question: What is the ratio of all elements that are in the range of 700 and 1500 to the sum of elements for SignificantOtherObservableInputs(Level 2)?