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NOTE 4. BALANCE SHEET COMPONENTS
Accrued Liabilities
Accrued liabilities consist of the following:
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March 31, |
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December 31, |
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2022 |
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2021(1) |
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(in millions) |
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Logistics costs(2) |
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$ |
43 |
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$ |
56 |
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Deferred revenue and customer deposits |
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22 |
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25 |
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Wish Cash liability(3) |
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19 |
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20 |
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Sales and indirect taxes(4) |
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20 |
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26 |
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Others |
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46 |
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47 |
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Total accrued liabilities |
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$ |
150 |
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$ |
174 |
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(1) |
The amounts previously disclosed in the Company’s 2021 Form 10-K were realigned to ensure consistency with the amounts reflected as of March 31, 2022. |
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(2) |
Logistics costs decreased by $13 million or 23% primarily due to lower shipping volumes during the first quarter of 2022 compared to the fourth quarter of 2021. |
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(3) |
While the Company will continue to honor all Wish Cash presented for payment, it may determine the likelihood of redemption to be remote for certain Wish Cash liability balances due to, among other things, long periods of inactivity. In these circumstances, to the extent the Company determines there is no requirement for remitting Wish Cash balances to government agencies under unclaimed property laws, the portion of Wish Cash liability balances not expected to be redeemed are recognized in core marketplace revenue. The Company recognized approximately $1 and $3 million of Wish Cash liability breakage in core marketplace revenue during the first quarter of 2022 and the fourth quarter of 2021, respectively. |
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(4) |
Sales and indirect taxes decreased by $6 million or 23% primarily due to less taxes collected in connection with lower order volumes during the first quarter of 2022 compared to the fourth quarter of 2021. |
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