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Equipment Installment Plans (Table)
 3 Months Ended
Mar. 31, 2023
Receivables [Abstract]  
Equipment installment plan receivables
The following table summarizes equipment installment plan receivables.
 March 31, 2023December 31, 2022
(Dollars in millions)  
Equipment installment plan receivables, gross$1,184 $1,211 
Allowance for credit losses(94)(96)
Equipment installment plan receivables, net$1,090 $1,115 
Net balance presented in the Consolidated Balance Sheet as:
Accounts receivable — Customers and agents (Current portion)$623 $646 
Other assets and deferred charges (Non-current portion)467 469 
Equipment installment plan receivables, net$1,090 $1,115 
Equipment installment plan receivables credit categories The balance and aging of the equipment installment plan receivables on a gross basis by credit category were as follows:
March 31, 2023December 31, 2022
Lowest Risk
Lower Risk
Slight Risk
Higher Risk
Total
Lowest Risk
Lower Risk
Slight Risk
Higher Risk
Total
(Dollars in millions)
Unbilled$997 $95 $23 $6 $1,121 $1,016 $98 $22 $5 $1,141 
Billed — current38 4 1 — 43 41 5 2 — 48 
Billed — past due11 6 2 1 20 13 6 2 1 22 
Total$1,046 $105 $26 $7 $1,184 $1,070 $109 $26 $6 $1,211 
The balance of the equipment installment plan receivables as of March 31, 2023 on a gross basis by year of origination were as follows:
2020202120222023
Total
(Dollars in millions)
Lowest Risk$16 $229 $639 $162 $1,046 
Lower Risk1 17 65 22 105 
Slight Risk— 2 14 10 26 
Higher Risk— 1 4 2 7 
Total$17 $249 $722 $196 $1,184 
Equipment installment plans allowance for credit losses
The write-offs, net of recoveries for the three months ended March 31, 2023 on a gross basis by year of origination were as follows:
202120222023
Total
(Dollars in millions)
Write-offs, net of recoveries$6 $14 $— $20 
Activity for the three months ended March 31, 2023 and 2022, in the allowance for credit losses for equipment installment plan receivables was as follows:
 March 31, 2023March 31, 2022
(Dollars in millions)  
Allowance for credit losses, beginning of period$96 $72 
Bad debts expense18 17 
Write-offs, net of recoveries(20)(16)
Allowance for credit losses, end of period$94 $73