ALLOWANCE FOR CREDIT LOSSES

The Company maintains allowances for potential credit losses and such losses have been minimal and within management’s expectations. Since the Company’s receivable balance is concentrated primarily in the financial and government sectors, an economic downturn in these sectors could result in higher than expected credit losses. The concentration of credit risk in the Company’s trade receivables with respect to financial and government customers is largely mitigated by the Company’s credit evaluation process and the geographical dispersion of sales transactions from a large number of individual customers.

The following table summarizes the Company’s allowance for credit losses and amount of financing receivables evaluated for impairment:



	Finance Leases			Notes Receivable		Total
Allowance for credit losses
Balance at January 1, 2016	$	0.5		$	4.1	$	4.6
Write-offs	(0.2		)	—		(0.2		)
Balance at December 31, 2016	$	0.3		$	4.1	$	4.4
Provision for credit losses	0.1			—		0.1
Write-offs	(0.1		)	—		(0.1		)
Balance at December 31, 2017	$	0.3		$	4.1	$	4.4

The Company's allowance of $4.4 and $4.4 for the years ended December 31, 2017 and 2016, respectively, all resulted from individual impairment evaluation. As of December 31, 2017, finance leases and notes receivables individually evaluated for impairment were $26.3 and $16.0, respectively, were assessed with no provision recorded. As of December 31, 2016, finance leases and notes receivables individually evaluated for impairment were $62.2 and $20.7, respectively, were assessed with no provision recorded. As of December 31, 2017 and 2016, the Company’s financing receivables in Brazil were $2.2 and $30.3, respectively. The decrease is related primarily to recurring customer payments for financing arrangements in Brazil and the strengthening USD compared to the Brazil real.

The Company records interest income and any fees or costs related to financing receivables using the effective interest method over the term of the lease or loan. The Company reviews the aging of its financing receivables to determine past due and delinquent accounts. Credit quality is reviewed at inception and is re-evaluated as needed based on customer-specific circumstances. Receivable balances 60 days to 89 days past due are reviewed and may be placed on nonaccrual status based on customer-specific circumstances. Receivable balances are placed on nonaccrual status upon reaching greater than 89 days past due. Upon receipt of payment on nonaccrual financing receivables, interest income is recognized and accrual of interest is resumed once the account has been made current or the specific circumstances have been resolved.

As of December 31, 2017 and 2016, the recorded investment in past-due financing receivables on nonaccrual status was $0.6 and $0.4, respectively, and there was no recorded investment in finance receivables past due 90 days or more and still accruing interest. The recorded investment in impaired notes receivable was $4.1 as of December 31, 2017 and 2016 and was fully reserved.

The following table summarizes the Company’s aging of past-due notes receivable balances:



	December 31,
	2017		2016
30-59 days past due	$	—	$	0.1
60-89 days past due	0.1		—
> 89 days past due	4.0		3.9
Total past due	$	4.1	$	4.0

The following table summarizes the Company’s allowances for doubtful accounts:



	2017			2016			2015
Balance at January 1	$	50.4		$	31.7		$	20.9
Charged to costs and expenses	54.9			22.9			15.8
Charged to other accounts ⁽¹⁾	1.4			1.7			(4.0		)
Deductions ⁽²⁾	(35.0		)	(5.9		)	(1.0		)
Balance at December 31	$	71.7		$	50.4		$	31.7

⁽¹⁾ Net effects of foreign currency translation.

⁽²⁾ Uncollectible accounts written-off, net of recoveries.