XML 42 R23.htm IDEA: XBRL DOCUMENT v3.6.0.2
Summary of Significant Accounting Policies (Tables)
 12 Months Ended
Dec. 31, 2016
Accounting Policies [Abstract]  
Revenue by type
Revenue for the years ended December 31, 2016, 2015, and 2014 consists of the following (in millions):
 
Year Ended December 31,
 
2016
 
2015
 
2014
Advertising
$
26,885

 
$
17,079

 
$
11,492

Payments and other fees
753

 
849

 
974

Total revenue
$
27,638

 
$
17,928

 
$
12,466

 
Estimated useful lives of property and equipment
The estimated useful lives of property and equipment are described below:
Property and Equipment 
 
Useful Life 
Network equipment
 
Three to 25 years
Buildings
 
Three to 30 years
Computer software, office equipment and other
 
Two to five years
Leased equipment and leasehold improvements
 
Lesser of estimated useful life or remaining lease term
Deferred revenue and deposits
Deferred revenue and deposits consists of the following (in millions):
 
December 31,
 
2016
 
2015
Deferred revenue
$
62

 
$
28

Deposits
28

 
28

Total deferred revenue and deposits
$
90

 
$
56
Adjustments to quarterly data resulting from adoption of new standard
Adoption of the new standard also resulted in (i) reduction to our provision for income taxes of $934 million for the year ended December 31, 2016, mostly related to the recognition of excess tax benefits from share-based compensation awards that vested or settled in 2016, and (ii) adjustments to our unaudited selected quarterly data previously reported for fiscal year 2016 as follows:
 
March 31, 2016
 
June 30, 2016
 
September 30, 2016
 (in millions)
As reported
 
As adjusted
 
As reported
 
As adjusted
 
As reported
 
As adjusted
Consolidated Balance Sheets Data:
(Unaudited)
Other assets
$
700

 
$
886

 
$
703

 
$
935

 
$
660

 
$
990

Total assets
$
52,075

 
$
52,262

 
$
55,739

 
$
55,968

 
$
59,674

 
$
60,007

Other liabilities
$
3,116

 
$
1,867

 
$
3,145

 
$
2,170

 
$
2,964

 
$
2,290

Total liabilities
$
4,925

 
$
3,674

 
$
5,356

 
$
4,373

 
$
5,559

 
$
4,886

Common stock and additional paid-in capital
$
36,129

 
$
35,673

 
$
37,405

 
$
36,494

 
$
38,756

 
$
37,391

Retained earnings
$
11,297

 
$
13,191

 
$
13,352

 
$
15,475

 
$
15,731

 
$
18,102

 
 
 
 
 
 
 
 
 
 
 
 
 
Three months ended March 31, 2016
 
Three months ended June 30, 2016
 
Three months ended September 30, 2016
 (in millions, except percentages and per share amounts)
As reported
 
As adjusted
 
As reported
 
As adjusted
 
As reported
 
As adjusted
Consolidated Statements of Income Data:
(Unaudited)
Share-based compensation included in costs and expenses
$
747

 
$
746

 
$
805

 
$
817

 
$
819

 
$
824

Total costs and expenses
$
3,373

 
$
3,372

 
$
3,690

 
$
3,702

 
$
3,889

 
$
3,894

Provision for income taxes
$
555

 
$
328

 
$
711

 
$
471

 
$
790

 
$
537

Net income
$
1,510

 
$
1,738

 
$
2,055

 
$
2,283

 
$
2,379

 
$
2,627

Effective tax rate
27
%
 
16
%
 
26
%
 
17
%
 
25
%
 
17
%
Earnings per share attributable to Class A and Class B common stockholders:
 
 
 
 
 
 
 
 
 
 
 
Basic
$
0.53

 
$
0.61

 
$
0.72

 
$
0.80

 
$
0.83

 
$
0.91

Diluted
$
0.52

 
$
0.60

 
$
0.71

 
$
0.78

 
$
0.82

 
$
0.90

Weighted average shares used to compute earnings per share attributable to Class A and Class B common stockholders:
 
 
 
 
 
 
 
 
 
 
 
Diluted
2,888

 
2,905

 
2,904

 
2,921

 
2,915

 
2,931

 
 
 
 
 
 
 
 
 
 
 
 
 
Three months ended March 31, 2016
 
Six months ended June 30, 2016
 
Nine months ended September 30, 2016
 (in millions)
As reported
 
As adjusted
 
As reported
 
As adjusted
 
As reported
 
As adjusted
Consolidated Statements of Cash Flows Data:
(Unaudited)
Net cash provided by operating activities
$
2,983

 
$
3,477

 
$
6,181

 
$
7,142

 
$
9,758

 
$
11,178

Net cash provided by (used in) financing activities
$
184

 
$
(310
)
 
$
655

 
$
(306
)
 
$
1,106

 
$
(314
)