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Supplementary Financial Information
9 Months Ended
Jul. 31, 2020
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Supplementary Financial Information Supplementary Financial Information
Accounts Receivable, net
 As of
 July 31, 2020October 31, 2019
 In millions
Accounts receivable$5,401 $6,142 
Allowance for doubtful accounts(132)(111)
$5,269 $6,031 
The allowance for doubtful accounts related to accounts receivable and changes were as follows:
 Nine months ended July 31, 2020
 In millions
Balance at beginning of period$111 
Provision for doubtful accounts53 
Deductions, net of recoveries(32)
Balance at end of period$132 
HP has third-party arrangements, consisting of revolving short-term financing, which provide liquidity to certain partners to facilitate their working capital requirements. These financing arrangements, which in certain circumstances may contain partial recourse, result in a transfer of HP’s receivables and risk to the third party. As these transfers qualify as true sales under the applicable accounting guidance, the receivables are de-recognized from the Consolidated Condensed Balance Sheets upon transfer, and HP receives a payment for the receivables from the third party within a mutually agreed upon time period. For arrangements involving an element of recourse, the recourse obligation is measured using market data from similar transactions and reported as a current liability in the Consolidated Condensed Balance Sheets. The recourse obligations as of July 31, 2020 and October 31, 2019 were not material. The costs associated with the sale of trade receivables for the three and nine months ended July 31, 2020 and 2019 were not material.
The following is a summary of the activity under these arrangements:
Three months ended July 31Nine months ended July 31
 2020 20192020 2019
 In millions
Balance at beginning of period(1)
$124 $182 $235 $165 
Trade receivables sold2,231 2,311 7,411 7,836 
Cash receipts(2,254)(2,330)(7,544)(7,838)
Foreign currency and other8 (4)7 (4)
Balance at end of period(1)
$109 $159 $109 $159 
(1) Amounts outstanding from third parties reported in Accounts Receivable in the Consolidated Condensed Balance Sheets.
Inventory
 As of
 July 31, 2020October 31, 2019
 In millions
Finished goods$3,937 $3,855 
Purchased parts and fabricated assemblies1,959 1,879 
$5,896 $5,734 

Other Current Assets
 As of
 July 31, 2020October 31, 2019
 In millions
Supplier and other receivables$2,028 $1,951 
Prepaid and other current assets1,472 967 
Value-added taxes receivable925 957 
$4,425 $3,875 

Property, Plant and Equipment, net
 As of
 July 31, 2020October 31, 2019
 In millions
Land, buildings and leasehold improvements$2,069 $1,977 
Machinery and equipment, including equipment held for lease5,234 5,060 
7,303 7,037 
Accumulated depreciation(4,645)(4,243)
$2,658 $2,794 

Other Non-Current Assets
 As of
 July 31, 2020October 31, 2019
 In millions
Deferred tax assets$2,506 $2,620 
Right-of-use assets from operating leases, net(1)
1,099  
Intangible assets572 661 
Other(2)
754 843 
$4,931 $4,124 
(1)  See Note 1, “Basis of Presentation” and Note 14, “Leases” for detailed information.
(2) Includes marketable equity securities and mutual funds classified as available-for-sale investments of $57 million and $56 million as of July 31, 2020 and October 31, 2019, respectively. See Note 8, “Financial Instruments” for detailed information.
Other Current Liabilities
 As of
 July 31, 2020October 31, 2019
 In millions
Sales and marketing programs$3,070 $3,361 
Deferred revenue1,190 1,178 
Other accrued taxes943 1,060 
Employee compensation and benefit961 1,103 
Warranty640 663 
Operating lease liabilities(1)
257  
Tax liability170 237 
Other3,243 2,541 
$10,474 $10,143 
(1)  See Note 1, “Basis of Presentation” and Note 14, “Leases” for detailed information.

Other Non-Current Liabilities
 As of
 July 31, 2020October 31, 2019
 In millions
Pension, post-retirement, and post-employment liabilities$1,550 $1,762 
Deferred revenue1,067 1,069 
Operating lease liabilities(1)
904  
Tax liability774 848 
Deferred tax liability21 60 
Other907 848 
$5,223 $4,587 
(1)  See Note 1, “Basis of Presentation” and Note 14, “Leases” for detailed information.

Interest and other, net
 Three months ended July 31Nine months ended July 31
 202020192020 2019
 In millions
Tax indemnifications(1)
$(1)$(784)$ $(769)
Interest expense on borrowings(55)(57)(176)(182)
Loss on extinguishment of debt(40) (40) 
Other, net68 10 201 49 
$(28)$(831)$(15)$(902)
(1)  Includes an adjustment of $764 million for the three and nine months ended July 31, 2019, primarily related to indemnification receivables, pursuant to resolution of various tax matters.
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Net revenue by region
Three months ended July 31Nine months ended July 31
 202020192020 2019
 In millions
Americas$6,229 $6,574 $17,393 $18,391 
Europe, Middle East and Africa4,725 4,746 14,611 15,214 
Asia-Pacific and Japan3,340 3,283 9,377 9,744 
Total net revenue$14,294 $14,603 $41,381 $43,349 

Value of Remaining Performance Obligations
        As of July 31, 2020, the estimated value of transaction price allocated to remaining performance obligations was $4.2 billion. HP expects to recognize approximately $1.8 billion of the unearned amount in next 12 months and $2.4 billion thereafter.
        HP has elected the practical expedients and accordingly does not disclose the aggregate amount of the transaction price allocated to remaining performance obligations if:
the contract has an original expected duration of one year or less; or
the revenue from the performance obligation is recognized over time on an as-invoiced basis when the amount corresponds directly with the value to the customer; or
the portion of the transaction price that is variable in nature is allocated entirely to a wholly unsatisfied performance obligation.
The remaining performance obligations are subject to change and may be affected by various factors, such as termination of contracts, contract modifications and adjustment for currency.
Contract Liabilities
As of July 31, 2020 and October 31, 2019, HP’s contract liabilities balances were $2.3 billion and $2.1 billion, respectively, included in Other Current Liabilities and Other Non-Current Liabilities in the Consolidated Condensed Balance Sheet.
The increase in the contract liabilities balance for the nine months ended July 31, 2020 is primarily driven by sales of fixed price support and maintenance services, partially offset by $0.9 billion of revenue recognized that were included in the contract liabilities balance as of October 31, 2019.