REVENUE RECOGNITION (Tables)

9 Months Ended

Dec. 31, 2022

Schedule of reconciliation of contract balances


	December 31,		March 31,
(Dollars in millions)	2022		2022
Accounts receivable (net of allowances of $34 at December 31, 2022 and $44 at March 31, 2022) *	$	1,539	$	2,271
Contract assets **		30		41
Deferred income (current)		817		882
Deferred income (noncurrent)		377		452

*	Including unbilled receivable balances of $382 million at December 31, 2022 and $473 million at March 31, 2022.

Contract assets represent services performed by the Company prior to billing the client, which give the Company the right to consideration that is typically subject to milestone completion or client acceptance. They are included within prepaid expenses and other current assets in the Consolidated Balance Sheet.

Schedule of notes and accounts receivable - trade allowance for credit losses


	Nine Months Ended		Nine Months Ended
(Dollars in millions)	December 31, 2022		December 31, 2021
Beginning balance	$	44	$	90
Additions (releases)		5		(21)
Write-offs		(8)		(4)
Other *		(6)		(21)
Ending balance	$	34	$	44

*	Primarily represents currency translation adjustments.

Schedule of capitalized costs to acquire and fulfill customer contracts


	December 31,		March 31,
(Dollars in millions)	2022		2022
Deferred transition costs	$	863	$	961
Prepaid software costs		661		806
Capitalized costs to fulfill contracts		279		302
Capitalized costs to obtain contracts		310		318
Total deferred costs *	$	2,112	$	2,387

*	Of the total deferred costs, $927 million was current and $1,186 million was noncurrent at December 31, 2022, and $1,143 million was current and $1,244 million was noncurrent at March 31, 2022.