Summary of Significant Accounting Policies Inventory Reserve (Tables)

6 Months Ended

Apr. 30, 2017

Schedule of Used Truck Reserve [Abstract]

Inventory Reserve [Table Text Block]

The following table presents our used truck reserve:

	Six Months Ended April 30,
(in millions)	2017			2016
Balance at beginning of period	$	208		$	110
Additions charged to expense(A)	88			84
Deductions/Other adjustments(B)	(80		)	(26		)
Balance at end of period	$	216		$	168

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(A) Additions charged to expense reflect the increase of the reserve for inventory on hand. During the second quarter of 2017, we implemented a shift in market mix to include an increase in volume to certain export markets, which have a lower price point as compared to sales through our domestic channels, and lower domestic pricing to enable higher sales velocity. In the second quarter of 2017 and 2016, we recorded a charge of $60 million and $38 million, respectively, in Costs of Products Sold in our Consolidated Statements of Operations.

(B) Deductions/Other adjustments reflect reductions of the reserve primarily related to the sale of units to certain export markets and our Mexican subsidiary currency translation adjustments.