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Accrued Liabilities

3 Months Ended

Mar. 31, 2019

3.	Accrued Liabilities

Accrued liabilities consist of (in millions):

	March 31,		December 31,
	2019		2018
Compensation	$	189	$	331
Vendor costs		119		127
Warranties		102		105
Taxes (non-income)		77		124
Insurance		54		55
Commissions		34		34
Interest		27		7
Fair value of derivatives		24		23
Other		250		282
Total	$	876	$	1,088

Warranties

The Company provides warranties on certain of its products and services. The Company accrues warranty liability based upon specific claims and a review of historical claim experience in accordance with Accounting Standards Codification (“ASC”) Topic 450 “Contingencies”. Adjustments are made to accruals as claim data and historical experience change. In addition, the Company incurs discretionary costs to service its products in connection with product performance issues and accrues for them when they are encountered.

The changes in the warranty provision are as follows (in millions):

Balance at December 31, 2018	$	105
Net provisions for warranties during the period		9
Amounts incurred		(12	)
Balance at March 31, 2019	$	102