Significant Accounting Policies (Tables)

12 Months Ended

Dec. 31, 2018

These consist of the reclassification of $20 million and $19 million for the years ended December 31, 2017 and 2016, respectively, from changes in Other long-term assets and liabilities to Tenant inducements paid to franchisees in the Consolidated Statement of Cash Flows and the December 31, 2017 reclassification of Advertising fund restricted assets to Cash and cash equivalents, Accounts and notes receivable, net and Prepaids and other current assets and the reclassification of Advertising fund liabilities to Accounts and drafts payable and Other accrued liabilities as detailed below (in millions). These reclassifications had no effect on previously reported net income.



	December 31, 2017					December 31, 2017
	As Reported		Reclassification			As Adjusted
Current assets:
Cash and cash equivalents	$	1,073	$	24		$	1,097
Accounts and notes receivable, net	456		33			489
Inventories, net	78		—			78
Advertising fund restricted assets	83		(83		)	—
Prepaids and other current assets	60		26			86
Total current assets	$	1,750	$	—		$	1,750

Current liabilities:
Accounts and drafts payable	$	413	$	83		$	496
Other accrued liabilities	838		28			866
Gift card liability	215		—			215
Advertising fund liabilities	111		(111		)	—
Current portion of long term debt and capital leases	78		—			78
Total current liabilities	$	1,655	$	—		$	1,655

Schedule of fair value measurements

The following table presents the fair value of our variable rate term debt and senior notes, estimated using inputs based on bid and offer prices that are Level 2 inputs, and principal carrying amount (in billions):



	As of December 31,
	2018		2017
Fair value of our variable term debt and senior notes	$	11	$	12
Principal carrying amount of our variable term debt and senior notes	12		12