Fair Value (Tables)

6 Months Ended

Jun. 30, 2024

Fair Value Disclosures [Abstract]

Fair Value Measurements - Recurring Basis Summary

The following table summarizes our assets and liabilities measured at fair value on a recurring basis, including instruments for which we have elected the fair value option.

Table 66: Fair Value Measurements – Recurring Basis Summary

	June 30, 2024									December 31, 2023
In millions	Level 1			Level 2		Level 3		Total Fair Value		Level 1		Level 2		Level 3		Total Fair Value
Assets
Residential mortgage loans held for sale				$	547	$	95	$	642			$	371	$	103	$	474
Commercial mortgage loans held for sale				291		4		295				227		11		238
Securities available for sale
U.S. Treasury and government agencies	$	15,513		961				16,474		$	6,292	659				6,951
Residential mortgage-backed
Agency				27,096				27,096				27,880				27,880
Non-agency						624		624						696		696
Commercial mortgage-backed
Agency				1,617				1,617				1,546				1,546
Non-agency				694		103		797				766		103		869
Asset-backed				2,024		96		2,120				1,014		102		1,116
Other				2,406		54		2,460				2,672		55		2,727
Total securities available for sale	15,513			34,798		877		51,188		6,292		34,537		956		41,785
Loans				490		701		1,191				512		726		1,238
Equity investments (a)	972		(b)			2,030		3,203		574				1,952		2,717
Residential mortgage servicing rights						2,657		2,657						2,654		2,654
Commercial mortgage servicing rights						1,082		1,082						1,032		1,032
Trading securities (c)	515			1,835				2,350		377		2,422				2,799
Financial derivatives (c) (d)	5			3,103		12		3,120		29		3,394		6		3,429
Other assets	431			129		8		568		403		85		8		496
Total assets (e)	$	17,436		$	41,193	$	7,466	$	66,296	$	7,675	$	41,548	$	7,448	$	56,862
Liabilities
Other borrowed funds	$	661		$	121	$	9	$	791	$	724	$	84	$	9	$	817
Financial derivatives (d) (f)	6			6,027		183		6,216		11		5,736		152		5,899
Other liabilities						194		194						237		237
Total liabilities (g)	$	667		$	6,148	$	386	$	7,201	$	735	$	5,820	$	398	$	6,953

(a)Certain investments that are measured at fair value using the net asset value per share (or its equivalent) practical expedient have not been classified in the fair value hierarchy.

(b)Included Visa C shares with an unrealized gain of $244 million at June 30, 2024.

(c)Included in Other assets on the Consolidated Balance Sheet.

(d)Amounts at June 30, 2024 and December 31, 2023 are presented gross and are not reduced by the impact of legally enforceable master netting agreements that allow us to net positive and negative positions and cash collateral held or placed with the same counterparty. See Note 12 Financial Derivatives for additional information related to derivative offsetting.

(e)Total assets at fair value as a percentage of total consolidated assets was 12% and 10% at June 30, 2024 and December 31, 2023, respectively. Level 3 assets as a percentage of total assets at fair value was 11% and 13% at June 30, 2024 and December 31, 2023, respectively. Level 3 assets as a percentage of total consolidated assets was 1% at both June 30, 2024 and December 31, 2023.

(f)Included in Other liabilities on the Consolidated Balance Sheet.

(g)Total liabilities at fair value as a percentage of total consolidated liabilities was 1% at both June 30, 2024 and December 31, 2023. Level 3 liabilities as a percentage of total liabilities at fair value was 5% and 6% at June 30, 2024 and December 31, 2023, respectively. Level 3 liabilities as a percentage of total consolidated liabilities was less than 1% at both June 30, 2024 and December 31, 2023.

Reconciliation of Level 3 Assets and Liabilities

Reconciliations of assets and liabilities measured at fair value on a recurring basis using Level 3 inputs for the three and six months ended June 30, 2024 and 2023 are as follows:

Table 67: Reconciliation of Level 3 Assets and Liabilities

Three Months Ended June 30, 2024

			Total realized / unrealized gains or losses for the  period (a)																				Unrealized gains/losses for the period on assets and liabilities held on Consolidated Balance Sheet at June 30, 2024 (a) (c)
Level 3 Instruments Only In millions	Fair Value Mar. 31, 2024		Included in Earnings		Included in Other comprehensive income (b)			Purchases		Sales		Issuances		Settlements		Transfers into Level 3		Transfers out of Level 3			Fair Value June 30, 2024
Assets
Residential mortgage     loans held for sale	$	98						$	12	$	(11)			$	(2)	$	1	$	(3)	(d)	$	95	$	(1)
Commercial mortgage     loans held for sale	11													(7)							4
Securities available for sale
Residential mortgage-   backed non-agency	668		$	3		$	(5)							(42)							624
Commercial mortgage-   backed non-agency	103																				103
Asset-backed	100					(1)								(3)							96
Other	53							3						(2)							54
Total securities     available for sale	924		3			(6)		3						(47)							877
Loans	713		4					7		(2)				(18)				(3)		(d)	701		4
Equity investments	2,030		31					47		(78)											2,030		23
Residential mortgage     servicing rights	2,687		16					16				$	7	(69)							2,657		16
Commercial mortgage     servicing rights	1,075		65					12				8		(78)							1,082		65
Financial derivatives	9		9					2						(8)							12		11
Other assets	8																				8
Total assets	$	7,555	$	128		$	(6)	$	99	$	(91)	$	15	$	(229)	$	1	$	(6)		$	7,466	$	118
Liabilities
Other borrowed funds	$	9										$	4	$	(4)						$	9
Financial derivatives	113		$	110						$	2			(42)							183		$	115
Other liabilities	189		6									15		(16)							194		7
Total liabilities	$	311	$	116						$	2	$	19	$	(62)						$	386	$	122
Net gains (losses)			$	12	(e)																		$	(4)	(f)

(Continued from previous page)

Three Months Ended June 30, 2023

			Total realized / unrealized gains or losses for the  period (a)																				Unrealized gains/losses for the period on assets and liabilities held on Consolidated Balance Sheet at June 30, 2023 (a) (c)
Level 3 Instruments Only In millions	Fair Value Mar. 31, 2023		Included in Earnings		Included in Other comprehensive income (b)			Purchases		Sales		Issuances		Settlements		Transfers into Level 3		Transfers out of Level 3			Fair Value June 30, 2023
Assets
Residential mortgage    loans held for sale	$	242	$	(4)				$	3	$	(41)			$	(2)			$	(7)	(d)	$	191	$	(3)
Commercial mortgage     loans held for sale	32		1											(8)							25
Securities available for sale
Residential mortgage-     backed non-agency	787		4			$	14							(37)							768
Commercial mortgage-backed non-agency	3																				3
Asset-backed	121		1			(1)								(4)							117
Other	53							3						(2)							54
Total securities     available for sale	964		5			13		3						(43)							942
Loans	757		3					11		(1)				(28)		$	8	(5)		(d)	745		3
Equity investments	1,835		24					92		(328)											1,623		2
Residential mortgage     servicing rights	2,232		81					91				$	5	(60)							2,349		80
Commercial mortgage     servicing rights	1,061		99					9				19		(82)							1,106		100
Financial derivatives	19		(10)					2						(5)							6		4
Total assets	$	7,142	$	199		$	13	$	211	$	(370)	$	24	$	(228)	$	8	$	(12)		$	6,987	$	186
Liabilities
Other borrowed funds	$	5										$	3	$	(3)						$	5
Financial derivatives	97		$	79						$	1			(37)							140		$	80
Other liabilities	229		31									89		(110)							239		21
Total liabilities	$	331	$	110						$	1	$	92	$	(150)						$	384	$	101
Net gains (losses)			$	89	(e)																		$	85	(f)

(Continued from previous page)

Six Months Ended June 30, 2024

			Total realized / unrealized gains or losses for the  period (a)																				Unrealized gains/losses for the period on assets and liabilities held on Consolidated Balance Sheet at June 30, 2024 (a) (c)
Level 3 Instruments Only In millions	Fair Value Dec. 31, 2023		Included in Earnings		Included in Other comprehensive income (b)			Purchases		Sales		Issuances		Settlements		Transfers into Level 3		Transfers out of Level 3			Fair Value June 30, 2024
Assets
Residential mortgage     loans held for sale	$	103	$	(1)				$	14	$	(11)			$	(4)	$	3	$	(9)	(d)	$	95	$	(2)
Commercial mortgage     loans held for sale	11													(7)							4
Securities available for sale
Residential mortgage-    backed non-agency	696		6			$	(11)							(67)							624
Commercial mortgage-     backed non-agency	103																				103
Asset-backed	102					(1)								(5)							96
Other	55		(2)			1		3						(3)							54		(2)
Total securities     available for sale	956		4			(11)		3						(75)							877		(2)
Loans	726		8					12		(2)				(38)				(5)		(d)	701		8
Equity investments	1,952		26					136		(84)											2,030		18
Residential mortgage     servicing rights	2,654		88					29				$	12	(126)							2,657		88
Commercial mortgage     servicing rights	1,032		172					24				11		(157)							1,082		172
Financial derivatives	6		18					2						(14)							12		21
Other assets	8																				8
Total assets	$	7,448	$	315		$	(11)	$	220	$	(97)	$	23	$	(421)	$	3	$	(14)		$	7,466	$	303
Liabilities
Other borrowed funds	$	9										$	7	$	(7)						$	9
Financial derivatives	152		$	118						$	2			(89)							183		$	120
Other liabilities	237		(14)									28		(57)							194		9
Total liabilities	$	398	$	104						$	2	$	35	$	(153)						$	386	$	129
Net gains (losses)			$	211	(e)																		$	174	(f)

(Continued from previous page)

Six Months Ended June 30, 2023

			Total realized / unrealized gains or losses for the  period (a)																				Unrealized gains / losses for the period on assets and liabilities held on Consolidated Balance Sheet at June 30, 2023 (a) (c)
Level 3 Instruments Only In millions	Fair Value Dec. 31, 2022		Included in Earnings		Included in Other comprehensive income (b)			Purchases		Sales		Issuances		Settlements		Transfers into Level 3		Transfers out of Level 3			Fair Value June 30, 2023
Assets
Residential mortgage    loans held for sale	$	243						$	9	$	(42)			$	(7)	$	3	$	(15)	(d)	$	191	$	1
Commercial mortgage     loans held for sale	33													(8)							25
Securities available for sale
Residential mortgage-     backed non-agency	819		$	8		$	4							(63)							768
Commercial mortgage-     backed non-agency	3																				3
Asset-backed	124		1											(8)							117
Other	55					(4)		3						(3)		3					54
Total securities     available for sale	1,001		9					3						(74)		3					942
Loans	769		6					20		(1)				(50)		15		(14)		(d)	745		6
Equity investments	1,778		145					232		(398)								(134)		(g)	1,623		119
Residential mortgage     servicing rights	2,310		33					109				$	10	(113)							2,349		33
Commercial mortgage     servicing rights	1,113		108					17				32		(164)							1,106		108
Financial derivatives	5		7					3						(9)							6		10
Total assets	$	7,252	$	308				$	393	$	(441)	$	42	$	(425)	$	21	$	(163)		$	6,987	$	277
Liabilities
Other borrowed funds	$	4										$	6	$	(5)						$	5
Financial derivatives	123		$	118						$	3			(104)							140		$	122
Other liabilities	294		55									107		(217)							239		42
Total liabilities	$	421	$	173						$	3	$	113	$	(326)						$	384	$	164
Net gains (losses)			$	135	(e)																		$	113	(f)

(a)Losses for assets are bracketed while losses for liabilities are not.

(b)The difference in unrealized gains and losses for the period included in Other comprehensive income and changes in unrealized gains and losses for the period included in Other comprehensive income for securities available for sale held at the end of the reporting period were insignificant.

(c)The amount of the total gains or losses for the period included in earnings that is attributable to the change in unrealized gains or losses related to those assets and liabilities held at the end of the reporting period.

(d)Residential mortgage loan transfers out of Level 3 are primarily driven by residential mortgage loans transferring to OREO as well as reclassification of mortgage loans held for sale to held for investment.

(e)Net gains (losses) realized and unrealized included in earnings related to Level 3 assets and liabilities included amortization and accretion. The amortization and accretion amounts were included in Interest income on the Consolidated Income Statement and the remaining net gains (losses) realized and unrealized were included in Noninterest income on the Consolidated Income Statement.

(f)Net unrealized gains (losses) related to assets and liabilities held at the end of the reporting period were included in Noninterest income on the Consolidated Income Statement.

(g)Transfers out of Level 3 during the prior period were due to valuation methodology changes for certain private company investments. See Note 1 Accounting Policies in our 2023 Form 10-K for more information on our accounting for private company investments.

Fair Value Measurements - Recurring Quantitative Information

Quantitative information about the significant unobservable inputs within Level 3 recurring assets and liabilities follows:

Table 68: Fair Value Measurements – Recurring Quantitative Information

June 30, 2024

Level 3 Instruments Only Dollars in millions	Fair Value		Valuation Techniques	Unobservable Inputs	Range (Weighted-Average) (a)
Commercial mortgage loans held for sale	$	4	Discounted cash flow	Spread over the benchmark curve (b)	575bps - 1,090bps (985bps)
Residential mortgage-backed     non-agency securities	624		Priced by a third-party vendor using a discounted cash flow pricing model	Constant prepayment rate	1.0% - 27.9% (2.9%)
				Constant default rate	0.0% - 12.0% (1.9%)
				Loss severity	10.0% - 77.4% (42.2%)
				Spread over the benchmark curve (b)	272bps weighted-average
Asset-backed securities	96		Priced by a third-party vendor using a discounted cash flow pricing model	Constant prepayment rate	1.0% - 28.0% (4.5%)
				Constant default rate	0.0% - 8.1% (1.6%)
				Loss severity	30.0% - 100.0% (48.7%)
				Spread over the benchmark curve (b)	227bps weighted-average
Loans - Residential real estate - Uninsured	532		Consensus pricing (c)	Cumulative default rate	3.6% - 100.0% (57.4%)
				Loss severity	0.0% - 100.0% (5.1%)
				Discount rate	5.5% - 7.5% (5.8%)
Loans - Residential real estate	71		Discounted cash flow	Loss severity	6.0% weighted-average
				Discount rate	8.0% weighted-average
Loans - Home equity - First-lien	16		Consensus pricing (c)	Cumulative default rate	3.6% - 100.0% (58.6%)
				Loss severity	0.0% - 100.0% (12.9%)
				Discount rate	5.5% - 7.5% (6.1%)
Loans - Home equity	82		Consensus pricing (c)	Credit and liquidity discount	0.0% - 100.0% (42.1%)
Equity investments	2,030		Multiple of adjusted earnings	Multiple of earnings	5.0x - 27.0x (10.3x)
Residential mortgage servicing rights	2,657		Discounted cash flow	Constant prepayment rate	0.0% - 40.7% (6.3%)
				Spread over the benchmark curve (b)	336bps - 2,338bps (764bps)
Commercial mortgage servicing rights	1,082		Discounted cash flow	Constant prepayment rate	5.1% - 8.3% (5.3%)
				Discount rate	8.1% - 10.3% (10.0%)
Financial derivatives - Swaps related to     sales of certain Visa Class B     common shares	(180)		Discounted cash flow	Estimated conversion factor of Visa Class B shares into Class A shares	1.59 weighted-average
				Estimated annual growth rate of Visa Class A share price	16.0%
				Estimated litigation resolution date	Q1 2026
Insignificant Level 3 assets, net of     liabilities (d)	66
Total Level 3 assets, net of liabilities (e)	$	7,080

(Continued from previous page)

December 31, 2023

Level 3 Instruments Only Dollars in millions	Fair Value		Valuation Techniques	Unobservable Inputs	Range (Weighted-Average) (a)
Commercial mortgage loans held for sale	$	11	Discounted cash flow	Spread over the benchmark curve (b)	575bps - 3,610bps (1,647bps)
Residential mortgage-backed     non-agency securities	696		Priced by a third-party vendor using a discounted cash flow pricing model	Constant prepayment rate	1.0% - 27.9% (3.7%)
				Constant default rate	0.0% - 12.0% (2.7%)
				Loss severity	10.0% - 69.0% (41.2%)
				Spread over the benchmark curve (b)	285bps weighted-average
Asset-backed securities	102		Priced by a third-party vendor using a discounted cash flow pricing model	Constant prepayment rate	1.0% - 28.0% (5.1%)
				Constant default rate	0.0% - 4.3% (1.7%)
				Loss severity	20.0% - 100.0% (49.5%)
				Spread over the benchmark curve (b)	248bps weighted-average
Loans - Residential real estate - Uninsured	546		Consensus pricing (c)	Cumulative default rate	3.6% - 100.0% (59.1%)
				Loss severity	0.0% - 100.0% (5.4%)
				Discount rate	5.5% - 7.5% (5.8%)
Loans - Residential real estate	75		Discounted cash flow	Loss severity	6.0% weighted-average
				Discount rate	7.8% weighted-average
Loans - Home equity - First-lien	18		Consensus pricing (c)	Cumulative default rate	3.6% - 100.0% (60.9%)
				Loss severity	0.0% - 100.0% (14.4%)
				Discount rate	5.5% - 7.5% (6.2%)
Loans - Home equity	87		Consensus pricing (c)	Credit and liquidity discount	0.3% - 100.0% (43.8%)
Equity investments	1,952		Multiple of adjusted earnings	Multiple of earnings	4.5x - 26.7x (10.1x)
Residential mortgage servicing rights	2,654		Discounted cash flow	Constant prepayment rate	0.0% - 33.6% (6.4%)
				Spread over the benchmark curve (b)	337bps - 1,668bps (765bps)
Commercial mortgage servicing rights	1,032		Discounted cash flow	Constant prepayment rate	5.3% - 9.7% (5.5%)
				Discount rate	7.6% - 10.0% (9.6%)
Financial derivatives - Swaps related to     sales of certain Visa Class B     common shares	(145)		Discounted cash flow	Estimated conversion factor of Visa Class B shares into Class A shares	1.59 weighted-average
				Estimated annual growth rate of Visa Class A share price	16.0%
				Estimated litigation resolution date	Q3 2024
Insignificant Level 3 assets, net of     liabilities (d)	22
Total Level 3 assets, net of liabilities (e)	$	7,050

(a)Unobservable inputs were weighted by the relative fair value of the instruments.

(b)The assumed yield spread over the benchmark curve for each instrument is generally intended to incorporate non-interest rate risks, such as credit and liquidity risks.

(c)Consensus pricing refers to fair value estimates that are generally internally developed using information such as dealer quotes or other third-party provided valuations or comparable asset prices.

(d)Represents the aggregate amount of Level 3 assets and liabilities measured at fair value on a recurring basis that are individually and in the aggregate insignificant. The amount includes certain financial derivative assets and liabilities, trading securities, other securities, residential mortgage loans held for sale, other assets, other borrowed funds and other liabilities.

(e)Consisted of total Level 3 assets of $7.5 billion and total Level 3 liabilities of $0.4 billion as of June 30, 2024 and $7.4 billion and $0.4 billion as of December 31, 2023, respectively.

Fair Value Measurements - Nonrecurring

Assets measured at fair value on a nonrecurring basis follow:

Table 69: Fair Value Measurements – Nonrecurring (a) (b) (c)

	Fair Value				Gains (Losses) Three months ended				Gains (Losses) Six months ended
In millions	June 30 2024		December 31 2023		June 30 2024		June 30 2023		June 30 2024		June 30 2023
Assets
Nonaccrual loans	$	769	$	578	$	(192)	$	(99)	$	(245)	$	(174)
Equity investments	170		203		8		(5)		(1)		(8)
Loans held for sale	25
OREO and foreclosed assets	6		12		(1)				(2)		(1)
Long-lived assets	10		9		(3)		(10)		(6)		(15)
Total assets	$	980	$	802	$	(188)	$	(114)	$	(254)	$	(198)

(a)All Level 3 for the periods presented, except for $25 million included in Loans held for sale which was categorized as Level 2 as of June 30, 2024 and $30 million included in Equity investments which was categorized as Level 1 as of December 31, 2023.

(b)Valuation techniques applied were fair value of property or collateral.

(c)Unobservable inputs used were appraised value/sales price, broker opinions or projected income/required improvement costs. Additional quantitative information was not meaningful for the periods presented.

Fair Value Option - Fair Value and Principal Balances

Fair values and aggregate unpaid principal balances of items for which we elected the fair value option are as follows:

Table 70: Fair Value Option – Fair Value and Principal Balances

	June 30, 2024						December 31, 2023
In millions	Fair Value		Aggregate Unpaid Principal Balance		Difference		Fair Value		Aggregate Unpaid Principal Balance		Difference
Assets
Residential mortgage loans held for sale
Accruing loans less than 90 days past due	$	604	$	601	$	3	$	432	$	429	$	3
Accruing loans 90 days or more past due	8		8				6		6
Nonaccrual loans	30		36		(6)		36		43		(7)
Total	$	642	$	645	$	(3)	$	474	$	478	$	(4)
Commercial mortgage loans held for sale (a) (b)
Accruing loans less than 90 days past due	$	295	$	289	$	6	$	238	$	228	$	10
Loans
Accruing loans less than 90 days past due	$	607	$	646	$	(39)	$	507	$	520	$	(13)
Accruing loans 90 days or more past due	119		130		(11)		146		156		(10)
Nonaccrual loans	465		631		(166)		585		793		(208)
Total	$	1,191	$	1,407	$	(216)	$	1,238	$	1,469	$	(231)
Other assets	$	129	$	132	$	(3)	$	85	$	69	$	16
Liabilities
Other borrowed funds	$	32	$	33	$	(1)	$	39	$	40	$	(1)
Other liabilities	$	104			$	104	$	124			$	124

(a)There were no accruing loans 90 days or more past due within this category at June 30, 2024 or December 31, 2023.

(b)There were no nonaccrual loans within this category at June 30, 2024 or December 31, 2023.

Fair Value Option - Changes in Fair Value

The changes in fair value for items for which we elected the fair value option are as follows:

Table 71: Fair Value Option – Changes in Fair Value (a)

	Gains (Losses)				Gains (Losses)
	Three months ended				Six months ended
	June 30		June 30		June 30		June 30
In millions	2024		2023		2024		2023
Assets
Residential mortgage loans held for sale	$	6	$	2	$	14	$	17
Commercial mortgage loans held for sale	$	14	$	22	$	9	$	23
Loans	$	6	$	5	$	12	$	9
Other assets	$	(2)	$	2	$	3	$	(12)
Liabilities
Other liabilities	$	(7)	$	(21)	$	(9)	$	(41)

(a)The impact on earnings of offsetting hedged items or hedging instruments is not reflected in these amounts.

Additional Fair Value Information Related to Other Financial Instruments

The following table presents the carrying amounts and estimated fair values, as well as the level within the fair value hierarchy, of all other financial instruments that are not recorded on our Consolidated Balance Sheet at fair value as of June 30, 2024 and December 31, 2023. For more information regarding the methods and assumptions used to estimate the fair values of financial instruments included in Table 72, see Note 14 Fair Value in our 2023 Form 10-K.

Table 72: Additional Fair Value Information Related to Other Financial Instruments

	Carrying		Fair Value
In millions	Amount		Total		Level 1		Level 2		Level 3
June 30, 2024
Assets
Cash and due from banks	$	6,242	$	6,242	$	6,242
Interest-earning deposits with banks (a)	33,039		33,039		32,630		$	409
Securities held to maturity	87,462		82,255		29,716		52,387		$	152
Net loans (excludes leases)	309,047		302,613						302,613
Other assets	5,734		5,709				5,700		9
Total assets	$	441,524	$	429,858	$	68,588	$	58,496	$	302,774
Liabilities
Time deposits	$	35,905	$	35,910			$	35,910
Borrowed funds	70,511		71,325				70,240		$	1,085
Unfunded lending related commitments	717		717						717
Other liabilities	1,229		1,229				1,229
Total liabilities	$	108,362	$	109,181			$	107,379	$	1,802
December 31, 2023
Assets
Cash and due from banks	$	6,921	$	6,921	$	6,921
Interest-earning deposits with banks (a)	43,804		43,804		43,313		$	491
Securities held to maturity	90,790		86,948		30,943		55,850		$	155
Net loans (excludes leases)	308,936		299,645						299,645
Other assets	5,872		5,872				5,872
Total assets	$	456,323	$	443,190	$	81,177	$	62,213	$	299,800
Liabilities
Time deposits	$	31,569	$	31,602			$	31,602
Borrowed funds	71,816		72,369				71,194		$	1,175
Unfunded lending related commitments	663		663						663
Other liabilities	1,091		1,091				1,091
Total liabilities	$	105,139	$	105,725			$	103,887	$	1,838

(a)In the second quarter of 2024, we reclassified balances held at the Federal Reserve Bank from Level 2 to Level 1 to align with our updated cash and cash equivalents policy. For additional details, see Note 1 Accounting Policies.