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Financing Receivables (Tables) | 3 Months Ended
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Oct. 30, 2021
Receivables [Abstract] |
Summary of Financing Receivables | A summary of our financing receivables is presented as follows (in millions):
October 30, 2021 | Lease Receivables |  | Loan Receivables |  | Financed Service Contracts |  | Total
Gross | $ | 1,560 |  |  | $ | 4,809 |  |  | $ | 2,329 |  |  | $ | 8,698 |
Residual value | 97 |  |  | — |  |  | — |  |  | 97 |
Unearned income | (70) |  |  | — |  |  | — |  |  | (70) |
Allowance for credit loss | (33) |  |  | (74) |  |  | (2) |  |  | (109) |
Total, net | $ | 1,554 |  |  | $ | 4,735 |  |  | $ | 2,327 |  |  | $ | 8,616 |
Reported as: |  |  |  |  |  |  |
Current | $ | 736 |  |  | $ | 2,198 |  |  | $ | 1,136 |  |  | $ | 4,070 |
Noncurrent | 818 |  |  | 2,537 |  |  | 1,191 |  |  | 4,546 |
Total, net | $ | 1,554 |  |  | $ | 4,735 |  |  | $ | 2,327 |  |  | $ | 8,616 |
July 31, 2021 | Lease Receivables |  | Loan Receivables |  | Financed Service Contracts |  | Total
Gross | $ | 1,710 |  |  | $ | 5,203 |  |  | $ | 2,453 |  |  | $ | 9,366 |
Residual value | 103 |  |  | — |  |  | — |  |  | 103 |
Unearned income | (78) |  |  | — |  |  | — |  |  | (78) |
Allowance for credit loss | (38) |  |  | (86) |  |  | (3) |  |  | (127) |
Total, net | $ | 1,697 |  |  | $ | 5,117 |  |  | $ | 2,450 |  |  | $ | 9,264 |
Reported as: |  |  |  |  |  |  |
Current | $ | 780 |  |  | $ | 2,372 |  |  | $ | 1,228 |  |  | $ | 4,380 |
Noncurrent | 917 |  |  | 2,745 |  |  | 1,222 |  |  | 4,884 |
Total, net | $ | 1,697 |  |  | $ | 5,117 |  |  | $ | 2,450 |  |  | $ | 9,264 |
Schedule of Financing Receivables by Internal Credit Risk Rating by Period of Origination | Gross financing receivables(1) categorized by our internal credit risk rating by period of origination as of October 30, 2021 and July 31, 2021 are summarized as follows (in millions):
|  |  | Fiscal Year |  | Three Months Ended |  |
Internal Credit Risk Rating | Prior |  | July 28, 2018 |  | July 27, 2019 |  | July 25, 2020 |  | July 31, 2021 |  | October 30, 2021 |  | Total
Lease Receivables: |  |  |  |  |  |  |  |  |  |  |  |  |
1 to 4 | $ | 11 |  |  | $ | 75 |  |  | $ | 134 |  |  | $ | 204 |  |  | $ | 244 |  |  | $ | 58 |  |  | $ | 726 |
5 to 6 | 10 |  |  | 44 |  |  | 141 |  |  | 258 |  |  | 247 |  |  | 15 |  |  | 715 |
7 and Higher | 1 |  |  | 4 |  |  | 9 |  |  | 19 |  |  | 4 |  |  | 12 |  |  | 49 |
Total Lease Receivables | $ | 22 |  |  | $ | 123 |  |  | $ | 284 |  |  | $ | 481 |  |  | $ | 495 |  |  | $ | 85 |  |  | $ | 1,490 |
Loan Receivables: |  |  |  |  |  |  |  |  |  |  |  |  |
1 to 4 | $ | 27 |  |  | $ | 108 |  |  | $ | 265 |  |  | $ | 733 |  |  | $ | 1,299 |  |  | $ | 503 |  |  | $ | 2,935 |
5 to 6 | 11 |  |  | 55 |  |  | 170 |  |  | 439 |  |  | 764 |  |  | 307 |  |  | 1,746 |
7 and Higher | 2 |  |  | 3 |  |  | 41 |  |  | 40 |  |  | 28 |  |  | 14 |  |  | 128 |
Total Loan Receivables | $ | 40 |  |  | $ | 166 |  |  | $ | 476 |  |  | $ | 1,212 |  |  | $ | 2,091 |  |  | $ | 824 |  |  | $ | 4,809 |
Financed Service Contracts: |  |  |  |  |  |  |  |  |  |  |  |  |
1 to 4 | $ | 3 |  |  | $ | 20 |  |  | $ | 85 |  |  | $ | 189 |  |  | $ | 824 |  |  | $ | 334 |  |  | $ | 1,455 |
5 to 6 | 3 |  |  | 19 |  |  | 90 |  |  | 257 |  |  | 370 |  |  | 116 |  |  | 855 |
7 and Higher | — |  |  | 1 |  |  | 4 |  |  | 7 |  |  | 4 |  |  | 3 |  |  | 19 |
Total Financed Service Contracts | $ | 6 |  |  | $ | 40 |  |  | $ | 179 |  |  | $ | 453 |  |  | $ | 1,198 |  |  | $ | 453 |  |  | $ | 2,329 |
Total | $ | 68 |  |  | $ | 329 |  |  | $ | 939 |  |  | $ | 2,146 |  |  | $ | 3,784 |  |  | $ | 1,362 |  |  | $ | 8,628 |
|  |  | Fiscal Year |  |
Internal Credit Risk Rating | Prior |  | July 29, 2017 |  | July 28, 2018 |  | July 27, 2019 |  | July 25, 2020 |  | July 31, 2021 |  | Total
Lease Receivables: |  |  |  |  |  |  |  |  |  |  |  |  |
1 to 4 | $ | 2 |  |  | $ | 20 |  |  | $ | 100 |  |  | $ | 168 |  |  | $ | 282 |  |  | $ | 227 |  |  | $ | 799 |
5 to 6 | 1 |  |  | 17 |  |  | 65 |  |  | 187 |  |  | 285 |  |  | 231 |  |  | 786 |
7 and Higher | — |  |  | 2 |  |  | 6 |  |  | 12 |  |  | 23 |  |  | 4 |  |  | 47 |
Total Lease Receivables | $ | 3 |  |  | $ | 39 |  |  | $ | 171 |  |  | $ | 367 |  |  | $ | 590 |  |  | $ | 462 |  |  | $ | 1,632 |
Loan Receivables: |  |  |  |  |  |  |  |  |  |  |  |  |
1 to 4 | $ | 4 |  |  | $ | 86 |  |  | $ | 134 |  |  | $ | 577 |  |  | $ | 990 |  |  | $ | 1,552 |  |  | $ | 3,343 |
5 to 6 | — |  |  | 19 |  |  | 75 |  |  | 202 |  |  | 505 |  |  | 925 |  |  | 1,726 |
7 and Higher | 1 |  |  | 2 |  |  | 4 |  |  | 50 |  |  | 43 |  |  | 34 |  |  | 134 |
Total Loan Receivables | $ | 5 |  |  | $ | 107 |  |  | $ | 213 |  |  | $ | 829 |  |  | $ | 1,538 |  |  | $ | 2,511 |  |  | $ | 5,203 |
Financed Service Contracts: |  |  |  |  |  |  |  |  |  |  |  |  |
1 to 4 | $ | — |  |  | $ | 38 |  |  | $ | 26 |  |  | $ | 106 |  |  | $ | 252 |  |  | $ | 1,053 |  |  | $ | 1,475 |
5 to 6 | — |  |  | 6 |  |  | 26 |  |  | 105 |  |  | 302 |  |  | 520 |  |  | 959 |
7 and Higher | — |  |  | — |  |  | 1 |  |  | 6 |  |  | 7 |  |  | 5 |  |  | 19 |
Total Financed Service Contracts | $ | — |  |  | $ | 44 |  |  | $ | 53 |  |  | $ | 217 |  |  | $ | 561 |  |  | $ | 1,578 |  |  | $ | 2,453 |
Total | $ | 8 |  |  | $ | 190 |  |  | $ | 437 |  |  | $ | 1,413 |  |  | $ | 2,689 |  |  | $ | 4,551 |  |  | $ | 9,288 |
(1) Lease receivables calculated as gross lease receivables less unearned income.
Schedule of Aging Analysis of Financing Receivables | The following tables present the aging analysis of gross receivables as of October 30, 2021 and July 31, 2021 (in millions):
| DAYS PAST DUE (INCLUDES BILLED AND UNBILLED) |  |  |  |  |  |  |  |  |  |
October 30, 2021 | 31-60 |  | 61-90 |  | 91+ |  | Total Past Due |  | Current |  | Total |  | 120+ Still Accruing |  | Nonaccrual Financing Receivables |  | Impaired Financing Receivables
Lease receivables | $ | 34 |  |  | $ | 12 |  |  | $ | 22 |  |  | $ | 68 |  |  | $ | 1,422 |  |  | $ | 1,490 |  |  | $ | 8 |  |  | $ | 24 |  |  | $ | 24 |
Loan receivables | 77 |  |  | 17 |  |  | 27 |  |  | 121 |  |  | 4,688 |  |  | 4,809 |  |  | 6 |  |  | 29 |  |  | 29 |
Financed service contracts | 21 |  |  | 39 |  |  | 18 |  |  | 78 |  |  | 2,251 |  |  | 2,329 |  |  | 4 |  |  | 3 |  |  | 3 |
Total | $ | 132 |  |  | $ | 68 |  |  | $ | 67 |  |  | $ | 267 |  |  | $ | 8,361 |  |  | $ | 8,628 |  |  | $ | 18 |  |  | $ | 56 |  |  | $ | 56 |
| DAYS PAST DUE (INCLUDES BILLED AND UNBILLED) |  |  |  |  |  |  |  |  |  |
July 31, 2021 | 31-60 |  | 61-90 |  | 91+ |  | Total Past Due |  | Current |  | Total |  | 120+ Still Accruing |  | Nonaccrual Financing Receivables |  | Impaired Financing Receivables
Lease receivables | $ | 21 |  |  | $ | 17 |  |  | $ | 29 |  |  | $ | 67 |  |  | $ | 1,565 |  |  | $ | 1,632 |  |  | $ | 1 |  |  | $ | 33 |  |  | $ | 26 |
Loan receivables | 71 |  |  | 17 |  |  | 35 |  |  | 123 |  |  | 5,080 |  |  | 5,203 |  |  | 4 |  |  | 33 |  |  | 33 |
Financed service contracts | 18 |  |  | 13 |  |  | 18 |  |  | 49 |  |  | 2,404 |  |  | 2,453 |  |  | 3 |  |  | 3 |  |  | 3 |
Total | $ | 110 |  |  | $ | 47 |  |  | $ | 82 |  |  | $ | 239 |  |  | $ | 9,049 |  |  | $ | 9,288 |  |  | $ | 8 |  |  | $ | 69 |  |  | $ | 62 |
Schedule of Allowance for Credit Loss and Related Financing Receivables | The allowances for credit loss and the related financing receivables are summarized as follows (in millions):
Three months ended October 30, 2021 | CREDIT LOSS ALLOWANCES
| Lease Receivables |  | Loan Receivables |  | Financed Service Contracts |  | Total
Allowance for credit loss as of July 31, 2021 | $ | 38 |  |  | $ | 86 |  |  | $ | 3 |  |  | $ | 127 |
Provisions (benefits) | (5) |  |  | (12) |  |  | (1) |  |  | (18) |
Allowance for credit loss as of October 30, 2021 | $ | 33 |  |  | $ | 74 |  |  | $ | 2 |  |  | $ | 109 |
Three months ended October 24, 2020 | CREDIT LOSS ALLOWANCES
| Lease Receivables |  | Loan Receivables |  | Financed Service Contracts |  | Total
Allowance for credit loss as of July 25, 2020 | $ | 48 |  |  | $ | 81 |  |  | $ | 9 |  |  | $ | 138 |
Provisions (benefits) | (3) |  |  | 3 |  |  | (1) |  |  | (1) |
Other | 1 |  |  | 17 |  |  | (1) |  |  | 17 |
Allowance for credit loss as of October 24, 2020 | $ | 46 |  |  | $ | 101 |  |  | $ | 7 |  |  | $ | 154 |

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- Definition Tabular disclosure of financing receivables by credit quality indicator. The credit quality indicator is a statistic about the credit quality of financing receivables. Examples include, but not limited to, consumer credit risk scores, credit-rating-agency ratings, an entity's internal credit risk grades, loan-to-value ratios, collateral, collection experience and other internal metrics. + References Reference 1: http://www.xbrl.org/2009/role/commonPracticeRef -Publisher FASB -Name Accounting Standards Codification -Topic 326 -SubTopic 20 -Section 50 -Paragraph 5 -URI http://asc.fasb.org/extlink&oid=124255953&loc=SL82919230-210447 Reference 2: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 310 -SubTopic 10 -Section 50 -Paragraph 29 -URI http://asc.fasb.org/extlink&oid=123577603&loc=SL6953659-111524 + Details
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