ANALOG DEVICES, INC.  NOTES TO CONSOLIDATED FINANCIAL STATEMENTS — (Continued) Expected term — The Company uses historical employee exercise and option expiration data to estimate the expected term assumption for the Black-Scholes grant-date valuation.
The Company believes that this historical data is currently the best estimate of the expected term ofanew option, and that generally its employees exhibit similar exercise behavior.
Risk-free interest rate — The yield on zero-coupon U. S.  Treasury securities for a period that is commensurate with the expected term assumption is used as the risk-free interest rate.
Expected dividend yield — Expected dividend yield is calculated by annualizing the cash dividend declared by the Company’s Board of Directors for the current quarter and dividing that result by the closing stock price on the date of grant.
Until such time as the Company’s Board of Directors declares a cash dividend for an amount that is different from the current quarter’s cash dividend, the current dividend will be used in deriving this assumption.
Cash dividends are not paid on options, restricted stock or restricted stock units.
In connection with the Acquisition, the Company granted restricted stock awards to replace outstanding restricted stock awards of Linear employees.
These restricted stock awards entitle recipients to voting and nonforfeitable dividend rights from the date of grant.
Stock-Based Compensation Exxpense p p The amount of stock-based compensation expense recognized during a period is based on the value of the awards that are ultimately expected to vest.
Forfeitures are estimated at the time of grant and revised, if necessary, in subsequent periods if actual forfeitures differ from those estimates.
The term “forfeitures” is distinct from “cancellations” or “expirations” and represents only the unvested portion of the surrendered stock-based award.
Based on an analysis of its historical forfeitures, the Company has applied an annual forffeiture rate of 5.0% to all unvested stock-based awards as of November 2, 2019.
This analysis will be re-evaluated quarterly and the forfeiture rate will be adjusted as necessary.
Ultimately, the actual expense recognized over the vesting period will only be for those awards that vest.
Total stock-based compensation expense recognized is as follows:
## Table 0 ##
As of November 2, 2019 and November 3, 2018, the Company capitalized $6.8 million and $7.1 million, respectively, of stock-based compensation in inventory.
Additional paid-in-capital (APIC) P Pool p p ( ) The Company adopted ASU 2016-09 during fiscal 2018.
ASU 2016-09 eliminated the APIC pool and requires that excess tax benefits and tax deficiencies be recorded in the income statement when awards are settled.
As a result of this adoption the Company recorded total excess tax benefits of $28.7 million and $26.2 million in fiscal 2019 and fiscal 2018, respectively, from its stock-based compensation payments within income tax expense in its consolidated statements of income.
For fiscal 2017, the APIC pool represented the excess tax benefits related to stock-based compensation that were available to absorb future tax deficiencies.
If the amount of future tax deficiencies was greater than the available APIC pool, the Company recorded the excess as income tax expense in its consolidated statements of income.
For fiscal 2017, the Company had a sufficient APIC pool to cover any tax deficiencies recorded and as a result, these deficiencies did not affect its results of operations.
PRUDENTIAL FINANCIAL, INC.  Notes to Consolidated Financial Statements 9.
CERTAIN NONTRADITIONAL LONG-DURATION CONTRACTS The Company issues traditional variable annuity contracts through its separate accounts for which investment income and investment gains and losses accrue directly to, and investment risk is borne by, the contractholder.
The Company also issues variable annuity contracts with general and separate account options where the Company contractually guarantees to the contractholder a return of no less than (1) total deposits made to the contract less any partial withdrawals (“return of net deposits”), (2) total deposits made to the contract less any partial withdrawals plus a minimum return (“minimum return”), or (3) the highest contract value on a specified date minus any withdrawals (“contract value”).
These guarantees include benefits that are payable in the event of death, annuitization or at specified dates during the accumulation period and withdrawal and income benefits payable during specified periods.
The Company also issues annuity contracts with market value adjusted investment options (“MVAs”), which provide for a return of principal plus a fixed rate of return if held to maturity, or, alternatively, a “market adjusted value” if surrendered prior to maturity or if funds are reallocated to other investment options.
The market value adjustment may result in a gain or loss to the Company, depending on crediting rates or an indexed rate at surrender, as applicable.
In addition, the Company issues variable life, variable universal life and universal life contracts where the Company contractually guarantees to the contractholder a death benefit even when there is insufficient value to cover monthly mortality and expense charges, whereas otherwise the contract would typically lapse (“no lapse guarantee”).
Variable life and variable universal life contracts are offered with general and separate account options, similar to variable annuities.
The assets supporting the variable portion of both traditional variable annuities and certain variable contracts with guarantees are carried at fair value and reported as “Separate account assets” with an equivalent amount reported as “Separate account liabilities.
” Amounts assessed against the contractholders for mortality, administration, and other services are included within revenue in “Policy charges and fee income” and changes in liabilities for minimum guarantees are generally included in “Policyholders’ benefits.
” In 2006 and 2005 there were no gains or losses on transfers of assets from the general account to a separate account.
For those guarantees of benefits that are payable in the event of death, the net amount at risk is generally defined as the current guaranteed minimum death benefit in excess of the current account balance at the balance sheet date.
For guarantees of benefits that are payable at annuitization, the net amount at risk is generally defined as the present value of the minimum guaranteed annuity payments available to the contractholder determined in accordance with the terms of the contract in excess of the current account balance.
For guarantees of accumulation balances, the net amount at risk is generally defined as the guaranteed minimum accumulation balance minus the current account balance.
The Company’s contracts with guarantees may offer more than one type of guarantee in each contract; therefore, the amounts listed may not be mutually exclusive.
As of December 31, 2006 and 2005, the Company had the following guarantees associated with these contracts, by product and guarantee type:
## Table 1 ##
(1) Includes income and withdrawal benefits as described herein.
Net amount at risk as of December 31, 2006 includes $733 million relating to GMIB and GMAB balances acquired from Allstate during 2006.
Group Insurance Operating Results The following table sets forth the Group Insurance segment’s operating results for the periods indicated.
## Table 2 ##
(1) Revenues exclude Realized investment gains (losses), net, and related adjustments.
See “—Realized Investment Gains and General Account Investments—Realized Investment Gains.
” (2) Benefits and expenses exclude related charges which represent the unfavorable (favorable) impact of Realized investment gains (losses), net, on interest credited to policyholders’ account balances.
Adjusted Operating Income 2006 to 2005 Annual Comparison.
Adjusted operating income increased $5 million, from $224 million in 2005 to $229 million in 2006.
This increase primarily reflects more favorable claims experience in our group disability business and, to a lesser extent, a greater benefit from refinements in group disability reserves as a result of annual reviews.
These reserve refinements benefited the current year $19 million, primarily associated with our long-term care products, while benefiting the prior year $8 million.
In addition, adjusted operating income in 2006 benefited from an increased contribution from investment results, primarily reflecting growth in invested assets and higher interest rates on shorter-term investments.
Less favorable claims experience in our group life business and higher expenses, including higher costs in 2006 related to legal and regulatory matters, largely offset these increases.2005 to 2004 Annual Comparison.
Adjusted operating income increased $50 million, from $174 million in 2004 to $224 in 2005, primarily due to an increase in net investment income and growth in the segment’s group life business, as well as lower costs in 2005 related to legal and regulatory matters.
Revenues 2006 to 2005 Annual Comparison.
Revenues, as shown in the table above under “—Operating Results,” increased $355 million, from $4.200 billion in 2005 to $4.555 billion in 2006.
Group life premiums increased $249 million, from $2.546 billion in 2005 to $2.795 billion in 2006, primarily reflecting growth in business in force resulting from new sales and continued strong persistency, which remain unchanged at 95% for both years.
Group disability premiums, which include long-term care products, increased $37 million, from $724 million in 2005 to $761 million in 2006, primarily reflecting growth in business in force resulting from new sales and continued strong persistency, which improved from 85% in 2005 to 90% in 2006.
Net investment income also increased $30 million primarily reflecting a larger base of invested assets due to business growth, as well as higher interest rates on shorter-term investments.2005 to 2004 Annual Comparison.
Revenues increased by $308 million, from $3.892 billion in 2004 to $4.200 billion in 2005.
Group life premiums increased by $272 million, from $2.274 billion in 2004 to $2.546 billion in 2005, primarily reflecting growth in business in force resulting from new sales and continued strong persistency, which improved from 94% in 2004 to 95% in 2005.
Group disability premiums, which include long-term care products, increased by $48 million, from $676 million in 2004 to $724 million in 2005, primarily reflecting growth in business in force resulting from new sales and continued strong persistency, which declined slightly from 86% in 2004 to 85% in 2005.
Net investment income increased by $32 million, primarily reflecting a larger base of invested assets due to business growth.
asset inflows during 2004 and 2005, including assets associated with the retirement business acquired from CIGNA, as well as net market appreciation.
Additionally, revenues for 2005 include an increase of $79 million in performance based incentive and transaction fees primarily related to our real estate investment management business.
Revenues for 2004 include asset management fees of $28 million associated with certain money market mutual fund balances of brokerage clients of Wachovia Securities.
These balances were essentially eliminated as of September 30, 2004 due to the replacement of those funds with other investment alternatives for those brokerage clients.
The resulting reduction in revenues has been offset by payments from Wachovia under an agreement dated as of July 30, 2004 implementing arrangements with respect to money market mutual funds in connection with the combination of our retail securities brokerage and clearing operations with those of Wachovia.
This agreement extends for ten years after termination of the joint venture with Wachovia.
The revenue from Wachovia under this agreement, included in revenues from retail customers in the table above, was $54 million and $35 million for 2005 and 2004, respectively.
Expenses 2006 to 2005 Annual Comparison.
Expenses, as shown in the table above under “—Operating Results,” increased $225 million, from $1.232 billion in 2005 to $1.457 billion in 2006.
The increase in expenses is primarily due to higher performance-based compensation costs resulting from favorable performance in 2006, higher expenses related to proprietary investing activities and incentive compensation related to performance based incentive fees, as discussed above.2005 to 2004 Annual Comparison.
Expenses increased $34 million, from $1.198 billion in 2004 to $1.232 billion in 2005, primarily reflecting higher incentive based compensation costs resulting from favorable performance in 2005.
Partially offsetting this increase is a reduction in commission expenses associated with the money market funds of brokerage clients of Wachovia Securities subject to the arrangements with Wachovia described above.
Additionally, 2004 results include charges related to declines in value of intangible assets, expenses incurred in exiting an operating facility and termination of activities related to certain of our international investment management operations.
Financial Advisory Operating Results The following table sets forth the Financial Advisory segment’s operating results for the periods indicated.
## Table 3 ##
(1) Equity in earnings of operating joint ventures are included in adjusted operating income but excluded from income from continuing operations before income taxes, equity in earnings of operating joint ventures, extraordinary gain on acquisition and cumulative effect of accounting change as they are reflected on a U. S.  GAAP basis on an after-tax basis as a separate line on our Consolidated Statements of Operations.
On July 1, 2003, we combined our retail securities brokerage and clearing operations with those of Wachovia Corporation, or Wachovia, and formed Wachovia Securities Financial Holdings, LLC, or Wachovia Securities, a joint venture headquartered in Richmond, Virginia.
We have a 38% ownership interest in the joint venture, while Wachovia owns the remaining 62%.
The transaction included our securities brokerage operations but did not include our equity sales, trading and research operations.
As part of the transaction we retained certain assets and liabilities related to the contributed businesses, including liabilities for certain litigation and regulatory matters.
We account for our 38% ownership of the joint venture under the equity method of accounting.2006 to 2005 Annual Comparison.
Adjusted operating income increased $316 million, from a loss of $255 million in 2005 to income of $61 million in 2006.
The segment’s results for 2006 include our share of earnings from Wachovia Securities, on a pre-tax basis, of $294 million, compared to $217 million in 2005 before transition costs, reflecting increased fee income of the joint venture.
The segment’s results also include expenses of $267 million in 2006 related to obligations and costs we retained in connection with the contributed businesses primarily for litigation and regulatory matters, compared to $452 million during 2005.
The current and prior year expenses reflected increases in our reserve for settlement costs related to market timing issues involving the former Prudential Securities operations, with respect to which the Company announced that a settlement was reached in August 2006.
There are no transition costs in 2006 as the business integration was completed during the first half of 2005.
Transition costs were $20 million in 2005.
In addition, results of the segment include income of $34 million and zero from our equity sales and trading operations for 2006 and 2005, respectively.
The increase came primarily from income of $42 million from securities relating to trading exchange memberships, primarily representing shares received in connection with the commencement of public trading of exchange shares.
The majority of those
The following tables set forth the income yield and investment income, excluding realized investment gains (losses), for each major investment category of the Financial Services Business general account, excluding the Japanese operations’ portion of the general account which is presented separately below, for the periods indicated.
## Table 4 ##
(1) Yields are based on average carrying values except for fixed maturities, equity securities and securities lending activity.
Yields for fixed maturities are based on amortized cost.
Yields for equity securities are based on cost.
Yields for securities lending activity are calculated net of corresponding liabilities and rebate expenses.
Yields exclude investment income on assets other than those included in invested assets of the Financial Services Businesses.
Prior periods yields are presented on a basis consistent with the current period presentation.
(2) Includes investment income of securities brokerage, securities trading, banking operations, real estate and relocation services, and asset management operations.
The net investment income yield attributable to the non-Japanese operations’ portion of the Financial Services Businesses portfolio was 6.01% for the year ended December 31, 2006, compared to 5.79% for the year ended December 31, 2005.
The increase was primarily due to an increase in yields on fixed maturities and short-term investments and cash equivalents as a result of an increase in interest rates, including the benefit of reinvestment of proceeds from sales of fixed maturities at higher available interest rates.
The offsetting decrease in commercial loan yields is a result of reinvestment at lower rates and a lower level of prepayment premiums.
The following tables set forth the income yield and investment income, excluding realized investment gains (losses), for each major investment category of our Japanese operations’ general account for the periods indicated.
## Table 5 ##
(1) Yields are based on average carrying values except for fixed maturities, equity securities and securities lending activity.
Yields for fixed maturities are based on amortized cost.
Yields for equity securities are based on cost.
Yields for securities lending activity are calculated net of corresponding liabilities and rebate expenses.
Yields exclude investment income on assets other than those included in invested assets of the Financial Services Businesses.
Prior periods yields are presented on a basis consistent with the current period presentation.
The net investment income yield attributable to the Japanese insurance operations’ portfolios was 2.65% for the year ended December 31, 2006, compared to 2.55% for the year ended December 31, 2005.
The increase in yield on the Japanese insurance portfolio between periods is primarily attributable to an increase in unhedged U. S.  dollar investments and the lengthening of the duration of the investment portfolio.
The U. S.  dollar denominated fixed maturities that are not hedged to yen through third party derivative contracts provide a yield that is substantially higher than the yield on comparable Japanese fixed maturities.
The average value of U. S.  dollar denominated fixed maturities that are not hedged to yen through third party derivative contracts for the year ended December 31, 2006 and 2005 was approximately $6.3 billion and $4.0 billion, respectively, based on amortized cost.

<table><tr><td></td><td>2019</td><td>2018</td><td>2017</td></tr><tr><td>Cost of sales</td><td>$20,628</td><td>$18,733</td><td>$12,569</td></tr><tr><td>Research and development</td><td>75,305</td><td>81,444</td><td>51,258</td></tr><tr><td>Selling, marketing, general and administrative</td><td>51,829</td><td>50,988</td><td>40,361</td></tr><tr><td>Special charges</td><td>2,538</td><td>—</td><td>—</td></tr><tr><td>Total stock-based compensation expense</td><td>$150,300</td><td>$151,165</td><td>$104,188</td></tr></table>
<table><tr><td></td><td colspan="2"> December 31, 2006</td><td colspan="2"> December 31, 2005</td></tr><tr><td></td><td> In the Event of Death</td><td> At Annuitization/ Accumulation-1</td><td> In the Event of Death</td><td> At Annuitization/ Accumulation-1</td></tr><tr><td></td><td colspan="4"> (dollars in millions)</td></tr><tr><td> Variable Annuity Contracts</td><td colspan="4"></td></tr><tr><td> <i>Return of net deposits</i></td><td></td><td></td><td></td><td></td></tr><tr><td>Account value</td><td>$37,071</td><td>$ 57</td><td>$28,290</td><td>N/A</td></tr><tr><td>Net amount at risk</td><td>$ 1,491</td><td>$ 5</td><td>$ 1,974</td><td>N/A</td></tr><tr><td>Average attained age of contractholders</td><td>60 years</td><td>64 years</td><td>60 years</td><td>N/A</td></tr><tr><td> <i>Minimum return or contract value</i></td><td></td><td></td><td></td><td></td></tr><tr><td>Account value</td><td>$32,118</td><td>$28,322</td><td>$17,022</td><td>$13,980</td></tr><tr><td>Net amount at risk</td><td>$ 2,528</td><td>$ 733</td><td>$ 1,809</td><td>$ 5</td></tr><tr><td>Average attained age of contractholders</td><td>64 years</td><td>59 years</td><td>64 years</td><td>58 years</td></tr><tr><td>Average period remaining until earliest expected annuitization</td><td>N/A</td><td>6 years</td><td>N/A</td><td>6 years</td></tr></table>
<table><tr><td></td><td colspan="3"> Year ended December 31,</td></tr><tr><td></td><td>2006</td><td>2005</td><td> 2004</td></tr><tr><td></td><td colspan="3"> (in millions)</td></tr><tr><td> Operating results:</td><td></td><td></td><td></td></tr><tr><td>Revenues</td><td>$4,555</td><td>$4,200</td><td>$3,892</td></tr><tr><td>Benefits and expenses</td><td>4,326</td><td>3,976</td><td>3,718</td></tr><tr><td>Adjusted operating income</td><td>229</td><td>224</td><td>174</td></tr><tr><td>Realized investment gains (losses), net, and related adjustments(1)</td><td>-16</td><td>71</td><td>43</td></tr><tr><td>Related charges-2</td><td>-2</td><td>-2</td><td>—</td></tr><tr><td>Income from continuing operations before income taxes, equity in earnings of operating joint ventures, extraordinary gain on acquisition andcumulative effect of accounting change</td><td>$211</td><td>$293</td><td>$217</td></tr></table>
<table><tr><td></td><td colspan="3">Year ended December 31,</td></tr><tr><td></td><td>2006</td><td>2005</td><td>2004</td></tr><tr><td></td><td colspan="3">(in millions)</td></tr><tr><td> Operating results:</td><td></td><td></td><td></td></tr><tr><td>Revenues</td><td>$574</td><td>$453</td><td>$318</td></tr><tr><td>Expenses</td><td>513</td><td>708</td><td>563</td></tr><tr><td>Adjusted operating income</td><td>61</td><td>-255</td><td>-245</td></tr><tr><td>Equity in earnings of operating joint ventures-1</td><td>-294</td><td>-192</td><td>-58</td></tr><tr><td>Income from continuing operations before income taxes, equity in earnings of operating joint ventures, extraordinary gain on acquisition andcumulative effect of accounting change</td><td>$-233</td><td>$-447</td><td>$-303</td></tr></table>
<table><tr><td></td><td colspan="2">Year ended December 31, 2006</td><td colspan="2">Year ended December 31, 2005</td></tr><tr><td></td><td>Yield-1</td><td>Amount</td><td>Yield-1</td><td>Amount</td></tr><tr><td></td><td colspan="4">($ in millions)</td></tr><tr><td>Fixed maturities</td><td>6.33%</td><td>$4,360</td><td>6.16%</td><td>$3,841</td></tr><tr><td>Trading account assets supporting insurance liabilities</td><td>5.03</td><td>641</td><td>4.43</td><td>564</td></tr><tr><td>Equity securities</td><td>7.56</td><td>128</td><td>8.91</td><td>113</td></tr><tr><td>Commercial loans</td><td>6.58</td><td>889</td><td>7.09</td><td>901</td></tr><tr><td>Policy loans</td><td>5.66</td><td>122</td><td>5.65</td><td>107</td></tr><tr><td>Short-term investments and cash equivalents</td><td>5.19</td><td>322</td><td>3.35</td><td>200</td></tr><tr><td>Other investments</td><td>5.90</td><td>106</td><td>5.06</td><td>92</td></tr><tr><td>Gross investment income before investment expenses</td><td>6.15</td><td>6,568</td><td>5.95</td><td>5,818</td></tr><tr><td>Investment expenses</td><td>-0.14</td><td>-419</td><td>-0.16</td><td>-301</td></tr><tr><td>Investment income after investment expenses</td><td>6.01%</td><td>6,149</td><td>5.79%</td><td>5,517</td></tr><tr><td>Investment results of other entities and operations-2</td><td></td><td>341</td><td></td><td>217</td></tr><tr><td>Total investment income</td><td></td><td>$6,490</td><td></td><td>$5,734</td></tr></table>
<table><tr><td></td><td colspan="2">Year ended December 31, 2006</td><td colspan="2">Year ended December 31, 2005</td></tr><tr><td></td><td>Yield-1</td><td>Amount</td><td>Yield-1</td><td>Amount</td></tr><tr><td></td><td colspan="4">($ in millions)</td></tr><tr><td>Fixed maturities</td><td>2.54%</td><td>$955</td><td>2.33%</td><td>$858</td></tr><tr><td>Trading account assets supporting insurance liabilities</td><td>1.01</td><td>11</td><td>1.33</td><td>12</td></tr><tr><td>Equity securities</td><td>2.92</td><td>54</td><td>3.02</td><td>52</td></tr><tr><td>Commercial loans</td><td>3.81</td><td>93</td><td>4.15</td><td>115</td></tr><tr><td>Policy loans</td><td>3.66</td><td>36</td><td>3.43</td><td>34</td></tr><tr><td>Short-term investments and cash equivalents</td><td>3.91</td><td>20</td><td>0.74</td><td>5</td></tr><tr><td>Other investments</td><td>12.43</td><td>111</td><td>13.96</td><td>156</td></tr><tr><td>Gross investment income before investment expenses</td><td>2.83</td><td>1,280</td><td>2.74</td><td>1,232</td></tr><tr><td>Investment expenses</td><td>-0.18</td><td>-96</td><td>-0.19</td><td>-90</td></tr><tr><td>Total investment income</td><td>2.65%</td><td>$1,184</td><td>2.55%</td><td>$1,142</td></tr></table>

Question: Which element makes up more than 10% of the total for Amout in 2005?
Answer: Fixed maturities, Commercial loans