Supplementary Financial Information

Accounts Receivable



	As of
	April 30, 2017			October 31, 2016
	In millions
Accounts receivable	$	3,857		$	4,221
Allowance for doubtful accounts	(86		)	(107		)
	$	3,771		$	4,114

The allowance for doubtful accounts related to accounts receivable and changes were as follows:



	Six months ended April 30, 2017
	In millions
Balance at beginning of period	$	107
Provision for doubtful accounts	13
Deductions, net of recoveries	(34		)
Balance at end of period	$	86

HP has third-party arrangements, consisting of revolving short-term financing, which provide liquidity to certain partners in order to facilitate their working capital requirements. These financing arrangements, which in certain circumstances may contain partial recourse, result in a transfer of HP’s receivables and risk to the third party. As these transfers qualify as true sales under the applicable accounting guidance, the receivables are derecognized from the Consolidated Condensed Balance Sheets upon transfer, and HP receives a payment for the receivables from the third party within a mutually agreed upon time period. For arrangements involving an element of recourse, the recourse obligation is measured using market data from the similar transactions and reported as a current liability in the Consolidated Condensed Balance Sheets. The recourse obligations as of April 30, 2017 and October 31, 2016 were not material. As of April 30, 2017 and October 31, 2016, HP had $123 million and $149 million, respectively, outstanding from the third parties, which is reported in Accounts receivable in the Consolidated Condensed Balance Sheets. The costs associated with the sales of trade receivables for the three months and six months ended April 30, 2017 and 2016 were not material.

The following is a summary of the activity under these arrangements:



	Three months ended April 30						Six months ended April 30
	2017			2016			2017			2016
	In millions
Balance at beginning of period	$	104		$	89		$	149		$	93
Trade receivables sold	2,252			1,894			4,701			3,770
Cash receipts	(2,235		)	(1,916		)	(4,728		)	(3,793		)
Foreign currency and other	2			4			1			1
Balance at end of period	$	123		$	71		$	123		$	71

Inventory



	As of
	April 30, 2017		October 31, 2016
	In millions
Finished goods	$	3,101	$	3,103
Purchased parts and fabricated assemblies	1,655		1,381
	$	4,756	$	4,484

Other Current Assets



	As of
	April 30, 2017		October 31, 2016
	In millions
Value-added taxes receivable	$	804	$	795
Supplier and other receivables	1,722		1,700
Prepaid and other current assets	1,026		1,087
	$	3,552	$	3,582

Property, Plant and Equipment



	As of
	April 30, 2017			October 31, 2016
	In millions
Land, buildings and leasehold improvements	$	2,043		$	2,421
Machinery and equipment, including equipment held for lease	3,820			3,663
	5,863			6,084
Accumulated depreciation	(4,202		)	(4,348		)
	$	1,661		$	1,736

Other Non-Current Assets



	As of
	April 30, 2017		October 31, 2016
	In millions
Tax indemnifications receivable⁽¹⁾	$	1,634	$	1,591
Deferred tax assets	335		254
Other	1,132		1,316
	$	3,101	$	3,161

_________________________

(1)In connection with the TMA discussed under Note 6, “Taxes on Earnings”.

Other Accrued Liabilities



	As of
	April 30, 2017		October 31, 2016
	In millions
Other accrued taxes	$	701	$	755
Warranty	675		729
Sales and marketing programs	2,192		2,312
Other	1,981		1,922
	$	5,549	$	5,718

Other Non-Current Liabilities



	As of
	April 30, 2017		October 31, 2016
	In millions
Pension, post-retirement, and post-employment liabilities	$	2,543	$	2,705
Deferred tax liability	1,412		1,116
Tax liability	1,756		1,910
Deferred revenue	872		865
Other	744		737
	$	7,327	$	7,333