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Summary of Significant Accounting Policies (Tables)
 12 Months Ended
Oct. 31, 2014
Property, Plant and Equipment [Line Items]  
Schedule intangibles amortization periods [Table Text Block]
 
Years
Customer base and relationships
3 - 15
Trademarks
20
Other
3 - 18
Property, Plant and Equipment [Table Text Block]
The ranges of estimated useful lives are as follows:
 
Years
Buildings
20 - 50
Leasehold improvements
3 - 20
Machinery and equipment
3 - 12
Furniture, fixtures, and equipment
3 - 15
Equipment leased to others
1 - 10
Schedule of Accrued Product Warranty and Deferred Warranty Revenue
The following table presents accrued product warranty and deferred warranty revenue activity:
(in millions)
2014
 
2013
 
2012
Balance at beginning of period
$
1,349

 
$
1,118

 
$
598

Costs accrued and revenues deferred
302

 
469

 
575

Divestitures
—

 
(3
)
 
—

Currency translation adjustment
(4
)
 
(2
)
 
(4
)
Adjustments to pre-existing warranties(A)(B)
55

 
404

 
404

Payments and revenues recognized
(505
)
 
(637
)
 
(455
)
Balance at end of period
1,197

 
1,349

 
1,118

Less: Current portion
535

 
601

 
551

Noncurrent accrued product warranty and deferred warranty revenue
$
662

 
$
748

 
$
567

_________________________
(A)
Adjustments to pre-existing warranties reflect changes in our estimate of warranty costs for products sold in prior periods. Such adjustments typically occur when claims experience deviates from historic and expected trends. Our warranty liability is generally affected by component failure rates, repair costs, and the timing of failures. Future events and circumstances related to these factors could materially change our estimates and require adjustments to our liability. In addition, new product launches require a greater use of judgment in developing estimates until historical experience becomes available.
In the first quarter of 2014, we recorded adjustments for changes in estimates of $52 million or $0.64 per diluted share. In the second quarter of 2014, we recorded adjustments for changes in estimates of $42 million, or $0.52 per diluted share. In the third quarter of 2014, we recognized a benefit for adjustments to pre-existing warranties of $(29) million, or $(0.36) per diluted share. Included in the 2014 adjustments is a $36 million correction of prior-period errors, primarily related to pre-existing warranties. For more information on the errors identified, see 2014 Out-of-Period Adjustments. The impact of income taxes on the 2014 adjustments is not material due to our deferred tax valuation allowances on our U.S. deferred tax assets.
In the first quarter of 2013, we recorded adjustments for changes in estimates of $40 million or $0.50 per diluted share. In the second quarter of 2013, we recorded adjustments for changes in estimates of $164 million, or $2.04 per diluted share. In the third quarter of 2013, we recorded adjustments for changes in estimates of $48 million, or $0.60 per diluted share. In the fourth quarter of 2013, we recorded adjustments for changes in estimates of $152 million, or $1.89 per diluted share. The impact of income taxes on the 2013 adjustments is not material due to our deferred tax valuation allowances on our U.S. deferred tax assets.
In the first quarter of 2012, we recorded adjustments for changes in estimates of $123 million, or $1.76 per diluted share. In the second quarter of 2012, we recorded adjustments for changes in estimates of $104 million, or $1.51 per diluted share. In the fourth quarter of 2012, we recorded adjustments for changes in estimates of $149 million, or $2.16 per diluted share.
(B)
In the first quarter of 2013, we recognized $13 million of charges for adjustments to pre-existing warranties for a specific warranty issue related to component parts from a supplier. Also during the first quarter of 2013, we reached an agreement for reimbursement from this supplier for this amount and other costs previously accrued. As a result of this agreement, we recognized a recovery of $27 million within Costs of products sold and recorded a receivable within Other current assets. In the second quarter of 2013, we recognized a warranty recovery of $13 million within Income (loss) from discontinued operations, net of tax and recorded a receivable within Other current assets.