Receivables, Net

3 Months Ended

Dec. 31, 2017

Receivables [Abstract]

Receivables, Net

Receivables, Net

Receivables, net are summarized as follows:

(in millions)	December 31, 2017			September 30, 2017
Billed	$	1,118		$	1,055
Unbilled	492			461
Less progress payments	(84		)	(78		)
Total	1,526			1,438
Less allowance for doubtful accounts	(13		)	(12		)
Receivables, net	$	1,513		$	1,426

Receivables expected to be collected beyond the next twelve months are classified as long-term and are included in Other Assets. Receivables, net due from equity affiliates were $64 million and $42 million at December 31, 2017 and September 30, 2017, respectively.

Unbilled receivables principally represent sales recorded under the percentage-of-completion method of accounting that have not yet been billed to customers in accordance with applicable contract terms.

The Company sells certain accounts receivable on a non-recourse basis to unrelated financial institutions under factoring agreements arranged by certain customers. Under the terms of the agreements, the Company retains no rights or interest and has no obligations with respect to the sold receivables. The Company accounts for these transactions as sales of receivables and records cash proceeds when received as cash provided by operating activities in the Condensed Consolidated Statement of Cash Flows. Cash generated by participating in these programs was $146 million and $98 million during the three months ended December 31, 2017 and 2016, respectively. The impact on cash provided by (used for) operating activities during the three months ended December 31, 2017 and 2016, was $(8) million and $38 million, respectively. The cost of participating in these programs was immaterial to the Company's results.