Fair Value Measurements

6 Months Ended

Sep. 30, 2021

Fair Value Disclosures [Abstract]

Fair Value Measurements

(2) FAIR VALUE MEASUREMENTS

There are various valuation techniques used to estimate fair value, the primary one being the price that would be received from selling an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. When determining fair value, we consider the principal or most advantageous market in which we would transact and consider assumptions that market participants would use when pricing the asset or liability. We measure certain financial and nonfinancial assets and liabilities at fair value on a recurring and nonrecurring basis.

Fair Value Hierarchy

The three levels of inputs that may be used to measure fair value are as follows:

•Level 1. Quoted prices in active markets for identical assets or liabilities.

•Level 2. Observable inputs other than quoted prices included within Level 1, such as quoted prices for similar assets or liabilities, quoted prices in markets with insufficient volume or infrequent transactions (less active markets), or model-derived valuations in which all significant inputs are observable or can be derived principally from or corroborated with observable market data for substantially the full term of the assets or liabilities.

•Level 3. Unobservable inputs to the valuation methodology that are significant to the measurement of the fair value of assets or liabilities.

Assets and Liabilities Measured at Fair Value on a Recurring Basis

As of September 30, 2021 and March 31, 2021, our assets and liabilities that were measured and recorded at fair value on a recurring basis were as follows (in millions):

			Fair Value Measurements at Reporting Date Using
	As of September 30, 2021		Quoted Prices in Active Markets  for Identical Financial Instruments		Significant Other Observable Inputs		Significant Unobservable Inputs		Balance Sheet  Classification
			(Level 1)		(Level 2)		(Level 3)
Assets
Bank and time deposits	$	25	$	25	$	—	$	—	Cash equivalents
Money market funds	112		112		—		—		Cash equivalents
Available-for-sale securities:
Corporate bonds	152		—		152		—		Short-term investments
U.S. Treasury securities	65		65		—		—		Short-term investments
Commercial paper	35		—		35		—		Short-term investments
Foreign government securities	32		—		32		—		Short-term investments
Asset-backed securities	40		—		40		—		Short-term investments
Certificates of deposit	18		—		18		—		Short-term investments
Foreign currency derivatives	49		—		49		—		Other current assets and other assets
Deferred compensation plan assets (a)	23		23		—		—		Other assets
Total assets at fair value	$	551	$	225	$	326	$	—
Liabilities
Foreign currency derivatives	$	12	$	—	$	12	$	—	Accrued and other current liabilities and other liabilities
Deferred compensation plan liabilities (a)	23		23		—		—		Other liabilities
Total liabilities at fair value	$	35	$	23	$	12	$	—

			Fair Value Measurements at Reporting Date Using
	As of March 31, 2021		Quoted Prices in Active Markets for Identical Financial Instruments		Significant Other Observable Inputs		Significant Unobservable Inputs		Balance Sheet  Classification
			(Level 1)		(Level 2)		(Level 3)
Assets
Bank and time deposits	$	157	$	157	$	—	$	—	Cash equivalents
Money market funds	2,100		2,100		—		—		Cash equivalents
Available-for-sale securities:
Corporate bonds	380		—		380		—		Short-term investments and cash equivalents
U.S. Treasury securities	437		437		—		—		Short-term investments and cash equivalents
U.S. agency securities	3		—		3		—		Short-term investments
Commercial paper	142		—		142		—		Short-term investments and cash equivalents
Foreign government securities	67		—		67		—		Short-term investments
Asset-backed securities	112		—		112		—		Short-term investments
Certificates of deposit	41		—		41		—		Short-term investments
Foreign currency derivatives	33		—		33		—		Other current assets and other assets
Deferred compensation plan assets (a)	18		18		—		—		Other assets
Total assets at fair value	$	3,490	$	2,712	$	778	$	—
Liabilities
Foreign currency derivatives	$	40	$	—	$	40	$	—	Accrued and other current liabilities and other liabilities
Deferred compensation plan liabilities (a)	19		19		—		—		Other liabilities
Total liabilities at fair value	$	59	$	19	$	40	$	—

(a)The Deferred Compensation Plan assets consist of various mutual funds. See Note 15 in our Annual Report on Form 10-K for the fiscal year ended March 31, 2021, for additional information regarding our Deferred Compensation Plan.