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Accounts Receivable, Net | 9 Months Ended
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Sep. 30, 2021
Receivables [Abstract] |
Loans, Notes, Trade and Other Receivables Disclosure | Accounts Receivable, Net Accounts receivable, net consisted of the following:
(dollars in millions) | September 30, 2021 |  | December 31, 2020
Accounts receivable | $ | 10,033 |  |  | $ | 9,800 |
Allowance for expected credit losses | (495) |  |  | (546) |
Total accounts receivable, net | $ | 9,538 |  |  | $ | 9,254 |
The Company enters into various factoring agreements with third-party financial institutions to sell certain of its receivables. Under these arrangements, the Company factored receivables of $4.4 billion and $5.4 billion during the nine months ended September 30, 2021 and 2020, respectively, which includes amounts factored on certain aerospace receivables at the customers’ request for which we are compensated by the customer for the extended collection cycle. The cash received from these arrangements is reflected as cash provided by operating activities in the Condensed Consolidated Statement of Cash Flows. The changes in the allowance for expected credit losses related to Accounts receivable were as follows:
| Nine Months Ended September 30,
(dollars in millions) | 2021 |  | 2020
Balance as of January 1 | $ | 546 |  |  | $ | 254 |
Current period provision for expected credit losses, net of recoveries (1) | (32) |  |  | 263 |
Write-offs charged against the allowance for expected credit losses | (15) |  |  | (5) |
Other, net(2) | (4) |  |  | 18 |
Balance as of September 30 | $ | 495 |  |  | $ | 530 |
(1) The current provision for expected credit losses for the nine months ended September 30, 2020 includes $223 million of reserves driven by customer bankruptcies and additional reserves for credit losses primarily due to the current economic environment primarily caused by the COVID-19 pandemic. (2) Other, net for the nine months ended September 30, 2020 includes a $34 million impact related to the January 1, 2020 adoption of Accounting Standards Update (ASU) 2016-13, Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments.

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- Definition The entire disclosure for claims held for amounts due a entity, excluding financing receivables. Examples include, but are not limited to, trade accounts receivables, notes receivables, loans receivables. Includes disclosure for allowance for credit losses. + References Reference 1: http://www.xbrl.org/2009/role/commonPracticeRef -Publisher FASB -Name Accounting Standards Codification -Topic 310 -SubTopic 10 -URI http://asc.fasb.org/subtopic&trid=2196772 + Details
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- References No definition available. + Details
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