Fair value measurement (Tables)

9 Months Ended

Sep. 30, 2020

Fair value of each major class of financial assets and liabilities measured at fair value on a recurring basis

The fair values of each major class of the Company’s financial assets and liabilities measured at fair value on a recurring basis were as follows (in millions):


	Quoted prices in active markets for identical assets (Level 1)		Significant other observable inputs (Level 2)		Significant unobservable inputs (Level 3)

Fair value measurement as of September 30, 2020, using:							Total
Assets:
Available-for-sale securities:
U.S. Treasury notes	$	174	$	—	$	—	$	174
U.S. Treasury bills	6,399		—		—		6,399



Corporate debt securities:
Financial	—		—		—		—
Industrial	—		—		—		—
Other	—		—		—		—
Residential-mortgage-backed securities	—		—		—		—

Money market mutual funds	5,016		—		—		5,016
Other short-term interest-bearing securities	—		—		—		—
Equity securities	376		—		—		376
Derivatives:
Foreign currency contracts	—		111		—		111
Cross-currency swap contracts	—		124		—		124
Interest rate swap contracts	—		109		—		109

Total assets	$	11,965	$	344	$	—	$	12,309

Liabilities:
Derivatives:
Foreign currency contracts	$	—	$	88	$	—	$	88
Cross-currency swap contracts	—		481		—		481
Interest rate swap contracts	—		4		—		4
Contingent consideration obligations	—		—		54		54
Total liabilities	$	—	$	573	$	54	$	627


	Quoted prices in active markets for identical assets (Level 1)		Significant other observable inputs (Level 2)		Significant unobservable inputs (Level 3)

Fair value measurement as of December 31, 2019, using:							Total
Assets:
Available-for-sale securities:
U.S. Treasury notes	$	360	$	—	$	—	$	360
U.S. Treasury bills	—		—		—		—



Corporate debt securities:
Financial	—		1,121		—		1,121
Industrial	—		834		—		834
Other	—		198		—		198
Residential-mortgage-backed securities	—		182		—		182

Money market mutual funds	5,250		—		—		5,250
Other short-term interest-bearing securities	—		289		—		289
Equity securities	303		—		—		303
Derivatives:
Foreign currency contracts	—		224		—		224
Cross-currency swap contracts	—		66		—		66
Interest rate swap contracts	—		259		—		259
Total assets	$	5,913	$	3,173	$	—	$	9,086

Liabilities:
Derivatives:
Foreign currency contracts	$	—	$	31	$	—	$	31
Cross-currency swap contracts	—		315		—		315
Interest rate swap contracts	—		—		—		—
Contingent consideration obligations	—		—		61		61
Total liabilities	$	—	$	346	$	61	$	407