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Financing Receivables (Tables)
 3 Months Ended
Oct. 26, 2019
Receivables [Abstract]  
Financing Receivables
A summary of our financing receivables is presented as follows (in millions):
October 26, 2019
Lease
Receivables
 
Loan
Receivables
 
Financed Service
Contracts
 
Total
Gross
$
2,218

 
$
5,335

 
$
2,433

 
$
9,986

Residual value
138

 
—

 
—

 
138

Unearned income
(134
)
 
—

 
—

 
(134
)
Allowance for credit loss
(43
)
 
(81
)
 
(9
)
 
(133
)
Total, net
$
2,179

 
$
5,254

 
$
2,424

 
$
9,857

Reported as:
 
 
 
 
 
 
 
Current
$
976

 
$
2,575

 
$
1,475

 
$
5,026

Noncurrent
1,203

 
2,679

 
949

 
4,831

Total, net
$
2,179

 
$
5,254

 
$
2,424

 
$
9,857

July 27, 2019
Lease
Receivables
 
Loan
Receivables
 
Financed Service
Contracts
 
Total
Gross
$
2,367

 
$
5,438

 
$
2,369

 
$
10,174

Residual value
142

 
—

 
—

 
142

Unearned income
(137
)
 
—

 
—

 
(137
)
Allowance for credit loss
(46
)
 
(71
)
 
(9
)
 
(126
)
Total, net
$
2,326

 
$
5,367

 
$
2,360

 
$
10,053

Reported as:
 
 
 
 
 
 
 
Current
$
1,029

 
$
2,653

 
$
1,413

 
$
5,095

Noncurrent
1,297

 
2,714

 
947

 
4,958

Total, net
$
2,326

 
$
5,367

 
$
2,360

 
$
10,053
Schedule of Internal Credit Risk Rating for Each Portfolio Segment and Class
Gross receivables, excluding residual value, less unearned income categorized by our internal credit risk rating as of October 26, 2019 and July 27, 2019 are summarized as follows (in millions):
 
INTERNAL CREDIT RISK RATING
October 26, 2019
1 to 4
 
5 to 6
 
7 and Higher
 
Total
Lease receivables
$
1,128

 
$
904

 
$
52

 
$
2,084

Loan receivables
3,267

 
1,866

 
202

 
5,335

Financed service contracts
1,466

 
935

 
32

 
2,433

Total
$
5,861

 
$
3,705

 
$
286

 
$
9,852

 
INTERNAL CREDIT RISK RATING
July 27, 2019
1 to 4
 
5 to 6
 
7 and Higher
 
Total
Lease receivables
$
1,204

 
$
991

 
$
35

 
$
2,230

Loan receivables
3,367

 
1,920

 
151

 
5,438

Financed service contracts
1,413

 
939

 
17

 
2,369

Total
$
5,984

 
$
3,850

 
$
203

 
$
10,037
Schedule of Financing Receivables by Portfolio Segment and Class Aging Analysis
The following tables present the aging analysis of gross receivables, excluding residual value and less unearned income as of October 26, 2019 and July 27, 2019 (in millions):
 
DAYS PAST DUE
(INCLUDES BILLED AND UNBILLED)
 
 
 
 
 
 
 
 
October 26, 2019
31-60
 
61-90 
 
91+
 
Total
Past Due
 
Current
 
Total
 
Nonaccrual
Financing
Receivables
 
Impaired
Financing
Receivables
Lease receivables
$
91

 
$
73

 
$
215

 
$
379

 
$
1,705

 
$
2,084

 
$
24

 
$
24

Loan receivables
173

 
127

 
242

 
542

 
4,793

 
5,335

 
11

 
11

Financed service contracts
140

 
129

 
395

 
664

 
1,769

 
2,433

 
3

 
3

Total
$
404

 
$
329

 
$
852

 
$
1,585

 
$
8,267

 
$
9,852

 
$
38

 
$
38

 
DAYS PAST DUE
(INCLUDES BILLED AND UNBILLED)
 
 
 
 
 
 
 
 
July 27, 2019
31-60
 
61-90 
 
91+
 
Total
Past Due
 
Current
 
Total
 
Nonaccrual
Financing
Receivables
 
Impaired
Financing
Receivables
Lease receivables
$
101

 
$
42

 
$
291

 
$
434

 
$
1,796

 
$
2,230

 
$
13

 
$
13

Loan receivables
257

 
67

 
338

 
662

 
4,776

 
5,438

 
31

 
31

Financed service contracts
145

 
131

 
271

 
547

 
1,822

 
2,369

 
3

 
3

Total
$
503

 
$
240

 
$
900

 
$
1,643

 
$
8,394

 
$
10,037

 
$
47

 
$
47
Allowance for Credit Loss and Related Financing Receivables
The allowances for credit loss and the related financing receivables are summarized as follows (in millions):
Three months ended October 26, 2019
CREDIT LOSS ALLOWANCES
 
Lease
Receivables
 
Loan
Receivables
 
Financed Service
Contracts
 
Total
Allowance for credit loss as of July 27, 2019
$
46

 
$
71

 
$
9

 
$
126

Provisions (benefits)
(3
)
 
27

 
—

 
24

Recoveries (write-offs), net
—

 
(16
)
 
—

 
(16
)
Foreign exchange and other
—

 
(1
)
 
—

 
(1
)
Allowance for credit loss as of October 26, 2019
$
43

 
$
81

 
$
9

 
$
133

Three months ended October 27, 2018
CREDIT LOSS ALLOWANCES
 
Lease
Receivables
 
Loan
Receivables
 
Financed Service
Contracts
 
Total
Allowance for credit loss as of July 28, 2018
$
135

 
$
60

 
$
10

 
$
205

Provisions (benefits)
(3
)
 
—

 
(2
)
 
(5
)
Foreign exchange and other
(1
)
 
—

 
—

 
(1
)
Allowance for credit loss as of October 27, 2018
$
131

 
$
60

 
$
8

 
$
199