Cash and Cash Equivalents, Investments and Funds Held for Customers

The following table summarizes our cash and cash equivalents, investments and funds held for customers by balance sheet classification at the dates indicated.



	July 31, 2014				July 31, 2013
(In millions)	Amortized Cost		Fair Value		Amortized Cost		Fair Value
Classification on balance sheets:
Cash and cash equivalents	$	849	$	849	$	1,009	$	1,009
Investments	1,064		1,065		653		652
Funds held for customers	289		289		235		235
Long-term investments	31		31		54		83
Total cash and cash equivalents, investments and funds held for customers	$	2,233	$	2,234	$	1,951	$	1,979

The following table summarizes our cash and cash equivalents, investments and funds held for customers by investment category at the dates indicated. See Note 2 for more information on our municipal auction rate securities.



	July 31, 2014				July 31, 2013
(In millions)	Amortized Cost		Fair Value		Amortized Cost		Fair Value
Type of issue:
Total cash and cash equivalents	$	994	$	994	$	1,069	$	1,069
Available-for-sale debt securities:
Municipal bonds	700		701		489		489
Municipal auction rate securities	21		21		33		33
Corporate notes	466		466		269		269
U.S. agency securities	42		42		69		69
Total available-for-sale debt securities	1,229		1,230		860		860
Available-for-sale corporate equity securities	—		—		5		33
Other long-term investments	10		10		17		17
Total cash and cash equivalents, investments and funds held for customers	$	2,233	$	2,234	$	1,951	$	1,979

We include realized gains and losses on our available-for-sale debt and equity securities in interest and other income, net in our statements of operations. Gross realized gains and losses on our available-for-sale debt securities for the twelve months ended July 31, 2014, 2013 and 2012 were not significant.

We accumulate unrealized gains and losses on our available-for-sale debt and equity securities, net of tax, in accumulated other comprehensive income in the stockholders’ equity section of our balance sheets. Gross unrealized gains and losses on our available-for-sale debt securities at July 31, 2014 and July 31, 2013 were not significant.

At July 31, 2013, the cumulative gross unrealized gain on our available-for-sale corporate equity security was approximately $28 million. In the fourth quarter of fiscal 2014, we sold this security for $26 million and recorded the gain of $21 million in interest and other income in our statement of operations.

We periodically review our investment portfolios to determine if any investment is other-than-temporarily impaired due to changes in credit risk or other potential valuation concerns. We believe that the investments that we held at July 31, 2014 were not other-than-temporarily impaired. Unrealized losses on available-for-sale debt securities at July 31, 2014 were not significant and are due to changes in interest rates, including market credit spreads, and not due to increased credit risks associated with specific securities. We do not intend to sell these investments and it is not more likely than not that we will be required to sell them before recovery at par, which may be at maturity.

The following table summarizes our available-for-sale debt securities classified by the stated maturity date of the security at the dates indicated.



	July 31, 2014				July 31, 2013
(In millions)	Amortized Cost		Fair Value		Amortized Cost		Fair Value
Due within one year	$	363	$	363	$	234	$	235
Due within two years	443		443		245		245
Due within three years	303		303		211		210
Due after three years	120		121		170		170
Total available-for-sale debt securities	$	1,229	$	1,230	$	860	$	860

Available-for-sale debt securities due after three years in the table above include our municipal auction rate securities. See Note 2, “Fair Value Measurements,” for more information. All of the remaining securities in that category had interest reset dates or mandatory call dates within three years of the dates indicated in the table.