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Revenue
 9 Months Ended
Aug. 28, 2020
Revenue [Abstract]  
Revenue REVENUE
Segment Information
Our segment results for the three months ended August 28, 2020 and August 30, 2019 were as follows:
(dollars in millions)Digital
Media		Digital
Experience		PublishingTotal
Three months ended August 28, 2020
Revenue$2,337 $838 $50 $3,225 
Cost of revenue87 334 6 427 
Gross profit$2,250 $504 $44 $2,798 
Gross profit as a percentage of revenue96 %60 %88 %87 %
Three months ended August 30, 2019
Revenue$1,962 $821 $51 $2,834 
Cost of revenue74 337 5 416 
Gross profit$1,888 $484 $46 $2,418 
Gross profit as a percentage of revenue96 %59 %90 %85 %
Our segment results for the nine months ended August 28, 2020 and August 30, 2019 were as follows:
(dollars in millions)Digital
Media		Digital
Experience		PublishingTotal
Nine months ended August 28, 2020
Revenue$6,738 $2,522 $184 $9,444 
Cost of revenue258 1,021 15 1,294 
Gross profit$6,480 $1,501 $169 $8,150 
Gross profit as a percentage of revenue96 %60 %92 %86 %
Nine months ended August 30, 2019
Revenue$5,629 $2,348 $202 $8,179 
Cost of revenue213 993 15 1,221 
Gross profit$5,416 $1,355 $187 $6,958 
Gross profit as a percentage of revenue96 %58 %92 %85 %
Revenue by geographic area for the three and nine months ended August 28, 2020 and August 30, 2019 were as follows:
Three MonthsNine Months
(in millions)2020201920202019
Americas $1,873 $1,639 $5,481 $4,748 
EMEA851 755 2,493 2,187 
APAC501 440 1,470 1,244 
Total$3,225 $2,834 $9,444 $8,179 
Revenue by major offerings in our Digital Media reportable segment for the three and nine months ended August 28, 2020 and August 30, 2019 were as follows:
Three MonthsNine Months
(in millions)2020201920202019
Creative Cloud$1,962 $1,655 $5,652 $4,744 
Document Cloud375 307 1,086 885 
Total$2,337 $1,962 $6,738 $5,629 
Subscription revenue by segment for the three and nine months ended August 28, 2020 and August 30, 2019 were as follows:
Three MonthsNine Months
(in millions)2020201920202019
Digital Media $2,240 $1,841 $6,433 $5,278 
Digital Experience729 679 2,175 1,945 
Publishing31 27 91 85 
Total$3,000 $2,547 $8,699 $7,308 
Contract Balances
A receivable is recorded when an unconditional right to invoice and receive payment exists, such that only the passage of time is required before payment of consideration is due. Included in trade receivables on the condensed consolidated balance sheets are unbilled receivable balances which have not yet been invoiced, and are typically related to license revenue or services which are delivered prior to invoicing. As of August 28, 2020, the balance of trade receivables, net of allowances for doubtful accounts, was $1.32 billion, inclusive of unbilled receivables of $91 million. As of November 29, 2019, the balance of trade receivables, net of allowances for doubtful accounts, was $1.53 billion, inclusive of unbilled receivables of $149 million.
We maintain an allowance for doubtful accounts which reflects our best estimate of potentially uncollectible trade receivables and is based on both specific and general reserves. The allowance for doubtful accounts was $34 million and $10 million as of August 28, 2020 and November 29, 2019, respectively.
A contract asset is recognized when a conditional right to consideration exists and transfer of control has occurred. Contract assets are included in prepaid expenses and other current assets for the current portion and other assets for the long-term portion on the condensed consolidated balance sheets. We regularly review contract asset balances for impairment, considering factors such as historical experience, credit-worthiness, age of the balance and other economic or business factors. Contract asset impairments were not material for the nine months ended August 28, 2020. Contract assets were $77 million and $64 million as of August 28, 2020 and November 29, 2019, respectively.
Deferred revenue primarily consists of billings or payments received in advance of revenue recognition from subscription services, including non-cancellable and non-refundable committed funds and refundable customer deposits. Deferred revenue is recognized as revenue when transfer of control to customers has occurred. As of August 28, 2020, the balance of deferred revenue was $3.45 billion, which includes $31 million of refundable customer deposits. Arrangements with some of our enterprise customers with non-cancellable and non-refundable committed funds provide options to either renew monthly on-premise term-based licenses or use some or all funds to purchase other Adobe products or services. Non-cancellable and non-refundable committed funds related to these agreements comprised approximately 6% of the total deferred revenue.
As of November 29, 2019, the balance of deferred revenue was $3.50 billion. During the three and nine months ended August 28, 2020, approximately $585 million and $3.00 billion of revenue, respectively, was recognized that was included in the balance of deferred revenue as of November 29, 2019.
Transaction price allocated to remaining performance obligations represents contracted revenue that has not yet been recognized, which includes deferred revenue and unbilled amounts that will be recognized as revenue in future periods. As of August 28, 2020, remaining performance obligations were approximately $10.34 billion. Non-cancellable and non-refundable funds related to some of our enterprise customer agreements referred to in the paragraph above comprised approximately 6% of the total remaining performance obligations. Approximately 74% of the remaining performance obligations, excluding the aforementioned enterprise customer agreements, are expected to be recognized over the next 12 months with the remainder recognized thereafter.
Incremental costs of obtaining a contract with a customer are capitalized if we expect the benefit of those costs to be longer than one year and primarily relate to sales commissions paid to our sales force personnel. Capitalized contract acquisition costs are included in prepaid expenses and other current assets for the current portion and other assets for the long-term portion on the condensed consolidated balance sheets. Capitalized contract acquisition costs were $538 million and $474 million as of August 28, 2020 and November 29, 2019, respectively.
As part of our revenue reserves, we record refund liabilities for amounts that may be subject to future refunds, which include sales returns reserves and customer rebates and credits. Refund liabilities are included in accrued expenses on the condensed consolidated balance sheets. Refund liabilities were $115 million and $126 million as of August 28, 2020 and November 29, 2019, respectively.