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ACCRUED WARRANTIES
 12 Months Ended
Jun. 30, 2017
Accrued Warranties [Abstract]  
ACCRUED WARRANTIES
ACCRUED WARRANTIES
Changes in our liability for standard product warranties, which is included as a component of the “Other accrued items” and “Other long-term liabilities” line items in our Consolidated Balance Sheet, during fiscal 2017 and 2016, were as follows:
 
2017
 
2016
 
 
 
 
 
(In millions)
Balance at beginning of fiscal year
$
32

 
$
36

Warranty provision for sales
14

 
20

Settlements
(16
)
 
(19
)
Other, including adjustments for acquisitions and foreign currency translation
(4
)
 
(5
)
Balance at end of fiscal year
$
26

 
$
32


We also sell extended product warranties and recognize revenue from these arrangements over the warranty period. Costs of warranty services under these arrangements are recognized as incurred. Deferred revenue associated with extended product warranties at June 30, 2017 and July 1, 2016 was $23 million and $37 million, respectively, and is included as a component of the “Advance payments and unearned income” and “Other long-term liabilities” line items in our Consolidated Balance Sheet.