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Significant Accounting Policies (Tables)
 3 Months Ended
Mar. 31, 2018
Accounting Policies [Abstract]  
The Cumulative Effect of Changes to the Balance Sheet Related to the Adoption of ASC 606
The cumulative effect of the changes made to our consolidated January 1, 2018 balance sheet related to the adoption of ASC
606 were as follows (in millions):
 
As Reported December 31, 2017
 
Adjustment
 
As Adjusted January 1, 2018
Assets:
 
 
 
 
 
Inventories, net (1)
$
458

 
$
(3
)
 
$
455

Prepaid expenses and other current assets (2)
24

 
7

 
31

Long-term deferred income taxes (3)
119

 
(5
)
 
114

Other long-term assets (4)
65

 
12

 
77

 
 
 
 
 
 
Liabilities:
 
 
 
 
 
Deferred revenue (5)
186

 
(2
)
 
184

Long-term deferred revenue (6)
148

 
(6
)
 
142

 
 
 
 
 
 
Stockholders’ Equity:
 
 
 
 
 
Retained earnings
1,248

 
19

 
1,267


(1)
Reflects an adjustment of $(3) million related to changes in revenue recognition patterns.
(2)
Reflects an adjustment of $7 million related to changes in revenue recognition patterns.
(3)
Reflects the income tax effect of the adjustments made related to the adoption of ASC 606.
(4)
Reflects an adjustment of $12 million related to the capitalization of costs to obtain contracts (primarily comprised of sales commissions associated with longer term support service contracts).
(5)
Reflects an adjustment of $(3) million related to reallocation of revenue between performance obligations and $1 million related to changes in the timing of revenue recognition.
(6)
Reflects an adjustment of $(6) million related to reallocation of revenue between performance obligations.