Additional Financial Statement Information

Cash and Cash Equivalents

Cash and cash equivalents consist of the following:



($ in millions)	January 28, 2017		January 30, 2016
Cash (1)	$	1,086	$	853
Bank certificates of deposit and time deposits	416		313
Money market funds	256		204
Domestic commercial paper	25		—
Cash equivalents	697		517
Cash and cash equivalents	$	1,783	$	1,370

__________


(1)	Cash includes $58 million and $64 million of amounts in transit from banks for customer credit card and debit card transactions as of January 28, 2017 and January 30, 2016, respectively.

Other Current Assets

Other current assets consist of the following:



($ in millions)	January 28, 2017		January 30, 2016
Accounts receivable	$	335	$	282
Prepaid minimum rent and occupancy expenses	154		155
Prepaid income taxes	89		142
Derivative financial instruments	41		85
Other	83		78
Other current assets	$	702	$	742

Property and Equipment

Property and equipment are stated at cost less accumulated depreciation and consist of the following:



($ in millions)	January 28, 2017			January 30, 2016
Leasehold improvements	$	3,099		$	3,252
Furniture and equipment	2,508			2,603
Software	1,600			1,433
Land, buildings, and building improvements	1,000			1,019
Construction-in-progress	222			187
Property and equipment, at cost	8,429			8,494
Less: Accumulated depreciation	(5,813		)	(5,644		)
Property and equipment, net of accumulated depreciation	$	2,616		$	2,850

Depreciation expense for property and equipment was $590 million, $588 million, and $560 million for fiscal 2016, 2015, and 2014, respectively.

Interest of $9 million, $8 million, and $7 million related to assets under construction was capitalized in fiscal 2016, 2015, and 2014, respectively.

We recorded a charge for the impairment of long-lived assets of $107 million, $54 million, and $10 million for fiscal 2016, 2015, and 2014, respectively, related to store assets which is recorded in operating expenses in the Consolidated Statements of Income.

Other Long-Term Assets

Other long-term assets consist of the following:



($ in millions)	January 28, 2017		January 30, 2016
Long-term income tax-related assets	$	282	$	189
Goodwill	109		180
Trade names	95		92
Other	193		177
Other long-term assets	$	679	$	638

In fiscal 2016, we recorded a charge for the impairment of goodwill related to the Intermix reporting unit of $71 million, which is recorded in operating expenses in the Consolidated Statement of Income. No goodwill impairment charges were recorded in fiscal 2015 or 2014. See Note 4 of Notes to Consolidated Financial Statements for additional disclosures on goodwill and other intangible assets.

Accrued Expenses and Other Current Liabilities

Accrued expenses and other current liabilities consist of the following:



($ in millions)	January 28, 2017		January 30, 2016
Accrued compensation and benefits	$	312	$	230
Unredeemed gift cards, gift certificates, and credit vouchers, net of breakage	256		254
Short-term deferred rent and tenant allowances	99		100
Accrued advertising	46		31
Other	400		364
Accrued expenses and other current liabilities	$	1,113	$	979

No other individual items accounted for greater than five percent of total current liabilities as of January 28, 2017 or January 30, 2016.

Lease Incentives and Other Long-Term Liabilities

Lease incentives and other long-term liabilities consist of the following:



($ in millions)	January 28, 2017		January 30, 2016
Long-term deferred rent and tenant allowances	$	748	$	776
Long-term asset retirement obligations	51		70
Long-term income tax-related liabilities	32		49
Other	174		188
Lease incentives and other long-term liabilities	$	1,005	$	1,083

The activity related to asset retirement obligations includes adjustments to the asset retirement obligation balance and fluctuations in foreign currency exchange rates.

Sales Return Allowance

A summary of activity in the sales return allowance account is as follows:



($ in millions)	January 28, 2017			January 30, 2016			January 31, 2015
Balance at beginning of fiscal year	$	27		$	29		$	26
Additions	861			865			896
Returns	(858		)	(867		)	(893		)
Balance at end of fiscal year	$	30		$	27		$	29

Sales return allowances are recorded in accrued expenses and other current liabilities in the Consolidated Balance Sheets.