hellotayssir/FinQA_TAT-QA_financial_finetuning_dataset huggingface dataset:
FAIR VALUE
Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date.
Certain fair value estimates are affected by assumptions we make about the amount and timing of future cash flows and discount rates, all of which reflect varying degrees of risk. Income taxes and other expenses that would be incurred on disposition of financial instruments are not reflected in the fair values. As a result, the fair values are not the net amounts that would be realized if these instruments were settled.
The carrying values of our cash and cash equivalents, trade and other receivables, dividends payable, trade payables and accruals, compensation payable, severance and other costs payable, interest payable, notes payable and loans secured by trade receivables approximate fair value as they are short-term.
The following table provides the fair value details of financial instruments measured at amortized cost in the statements of financial position.
(1) Upon adoption of IFRS 16 on January 1, 2019, fair value disclosures are no longer required for leases
Table:
 |  |  | DECEMBER 31, 2019 |  | DECEMBER 31, 2018 | 
 | CLASSIFICATION | FAIR VALUE METHODOLOGY | CARRYING VALUE | FAIR VALUE | CARRYING VALUE | FAIR VALUE
CRTC tangible benefits obligation | Trade payables and other liabilities and other non-current liabilities | Present value of estimated future cash flows discounted using observable market interest rates | 29 | 29 | 61 | 61
CRTC deferral account obligation | Trade payables and other liabilities and other non-current liabilities | Present value of estimated future cash flows discounted using observable market interest rates | 82 | 85 | 108 | 112
Debt securities and other debt | Debt due within one year and long-term debt | Quoted market price of debt | 18,653 | 20,905 | 18,188 | 19,178
Finance leases (1) | Debt due within one year and long-term debt | Present value of future cash flows discounted using observable market interest rates | - | - | 2,097 | 2,304


Question: What is the fair value methodology for debt securities and other debt?
Answer: Quoted market price of debt
Summarized financial information concerning our segments is shown in the tables below (in millions):
(1) Revenues for Corporate and Other represent deferred revenue purchase accounting adjustments recorded in accordance with GAAP
(2) Operating expenses for Corporate and Other includes equity-based compensation, including certain related payroll taxes, of $51.7 million, $51.4 million and $19.2 million for the years ended December 31, 2019, 2018 and 2017, respectively.
(4) Depreciation and amortization for Corporate and Other primarily represents net incremental depreciation and amortization adjustments associated with the application of purchase accounting recorded in accordance with GAAP.
(6) Receivables from related parties are included in Corporate and Other.
(7) Transition and integration costs primarily consists of legal and professional fees related to the Distribution and transition-related costs following the Distribution.
Table:
 |  |  | Year ended December 31, 2017 |  | 
 | Software Solutions | Data and Analytics | Corporate and Other |  | Total
Revenues | $904.5 | $151.6 | $(4.5) | (1) | $1,051.6
Expenses: |  |  |  |  | 
Operating expenses | 388.0 | 113.2 | 68.3 | (2) | 569.5
Transition and integration costs | — | — | 13.1 | (7) | 13.1
EBITDA | 516.5 | 38.4 | (85.9) |  | 469.0
Depreciation and amortization | 101.2 | 12.8 | 92.5 | (4) | 206.5
Operating income (loss) | 415.3 | 25.6 | (178.4) |  | 262.5
Interest expense, net |  |  |  |  | (57.5)
Other expense, net |  |  |  |  | (12.6)
Earnings before income taxes |  |  |  |  | 192.4
Income tax benefit |  |  |  |  | (61.8)
Net earnings |  |  |  |  | $254.2
Balance sheet data: |  |  |  |  | 
Total assets | $3,223.5 | $304.7 | $127.7 | (6) | $3,655.9
Goodwill | $2,134.7 | $172.1 | $— |  | $2,306.8


Question: Where was receivables from related parties included in?
Answer: Corporate and Other
Free cash flow generation
Bridge from operating income to free cash flow (illustrative)
Focus on delivering a high conversion of operating income to free cash flow of operating income to free cash flow
of operating income to free cash flow
Ongoing activities to reduce costs “below operating income”, including restructuring, financial net and tax
Striving to maintain working capital efficiency but fluctuations may impact cash flow
Planning assumption for capex is about 2% of net sales, while expected to remain above 2% in 2020 due to the new factory in the US
Ambition to over time maintain restructuring charges to around 1% of net sales
M&A will vary depending on strategic decisions but assumed to be around 1–2% of net sales
Operating margin excluding restructuring charges. All numbers are in relation to net sales.
1) Restructuring charges as reported in the income statement for each year.
Table:
 | 2018 | 2019 | Ambition
Operating margin | 4.4% | 5.0% | >12%
financial net, tax and other | -3.8% | -2.5% | -4%
+ depreciation and amortization | +3.9% | +2.9% | +3 to 4%
+ depreciation of leased assets | – | +1.1% | +1%
± change in working capital | +3.7% | +1.0% | ±0
- capex | - 2.4% | -2.8% | -2%
- leasing payment | - | -1.3% | -1%
-  restructuring costs1) | -3.8% | -0.4% | -1%
Free cash flow (before M&A) | 2.0% | 3.4% | >8%
- M&A | -0.6% | -0.7% | ~1 to -2%


Question: What is the change in operating margin between 2018 and 2019?
Answer: 0.6
Calculation: 5.0-4.4
The Systems gross profit margin decrease year to year was driven by the mix away from IBM Z and margin declines in Power Systems and Storage Systems.
The pre-tax income decline was driven by the strong performance in IBM Z in the prior year and the continued investment in innovation across the Systems portfolio.
Table:
($ in millions) |  |  | 
For the year ended December 31: | 2018 | 2017 | Yr.-to-Yr. Percent/ Margin Change
Systems |  |  | 
External Systems Hardware gross profit | $2,590 | $2,893 | (10.5)%
External Systems Hardware gross profit margin | 40.7% | 44.6% | (3.8)pts
External Operating Systems Software gross profit | $1,412 | $1,469 | (3.9)%
External Operating Systems Software gross profit margin | 84.5% | 86.4% | (1.9)pts.
External total gross profit | $4,002 | $4,362 | (8.2)%
External total gross profit margin | 49.8% | 53.2% | (3.4)pts.
Pre-tax income | $ 904 | $1,128 | (19.9)%
Pre-tax margin | 10.2% | 12.6% | (2.4)pts.


Question: What led to decrease in Systems gross profit margin?
Answer: The Systems gross profit margin decrease year to year was driven by the mix away from IBM Z and margin declines in Power Systems and Storage Systems.
VMware and Pivotal Employee Stock Purchase Plans
In June 2007, VMware adopted its 2007 Employee Stock Purchase Plan (the “ESPP”), which is intended to be qualified under Section 423 of the Internal Revenue Code. On June 25, 2019, VMware amended its ESPP to increase the number of shares available for issuance by 9.0 million shares of Class A common stock. As of January 31, 2020, the number of authorized shares under the ESPP was a total of 32.3 million shares. Under the ESPP, eligible VMware employees are granted options to purchase shares at the lower of 85% of the fair market value of the stock at the time of grant or 85% of the fair market value at the time of exercise. The option period is generally twelve months and includes two embedded six-month option periods. Options are exercised at the end of each embedded option period. If the fair market value of the stock is lower on the first day of the second embedded option period than it was at the time of grant, then the twelve-month option period expires and each enrolled participant is granted a new twelve-month option. As of January 31, 2020, 14.3 million shares of VMware Class A common stock were available for issuance under the ESPP.
The following table summarizes ESPP activity for VMware during the periods presented (cash proceeds in millions, shares in thousands):
As of January 31, 2020, $95 million of ESPP withholdings were recorded as a liability in accrued expenses and other on the consolidated balance sheets for the purchase that occurred on February 29, 2020.
Prior to the acquisition of Pivotal, Pivotal granted options to eligible Pivotal employees to purchase shares of its Class A common stock at the lower of 85% of the fair market value of the stock at the time of grant or 85% of the fair market value of the Pivotal stock at the time of exercise. Pivotal’s ESPP activity was not material during the periods presented.
Table:
 |  | For the Year Ended | 
 | January 31, 2020 | February 1, 2019 | February 2, 2018
Cash proceeds | $172 | $161 | $65
Class A common stock purchased | 1,489 | 1,895 | 903
Weighted-average price per share | $115.51 | $84.95 | $72.40


Question: What was the percentage change in Weighted-average price per share between 2019 and 2020?
Answer: 35.97
Calculation: (115.51-84.95)/84.95
Restricted Share Units
The following table illustrates the number and WASP on date of award, and movements in, restricted share units (“RSUs”) and cash-based awards granted under the 2015 LTIP:
RSUs and cash-based awards have a vesting period between two to five years, with no award vesting within the first 12 months of the grant.
Table:
 | Year-ended 31 March 2019 |  | Year-ended 31 March 2018 | 
 | Number | WASP | Number | WASP
Restricted share units | 000’s | £ pence | 000’s | £ pence
Outstanding at the start of the year | 14,840 | 316.09 | 15,350 | 215.92
Awarded | 8,749 | 478.44 | 6,337 | 453.14
Forfeited | (1,421) | 426.11 | (1,421) | 284.15
Released | (6,822) | 309.77 | (5,426) | 218.49
Outstanding at the end of the year | 15,346 | 401.27 | 14,840 | 316.09


Question: What was the percentage change in the number of RSUs and cash-based awards outstanding at the end of the year in 2019 from 2018?
Answer: 3.41
Calculation: (15,346-14,840)/14,840
Allowance for Doubtful Accounts
The Company bases its allowance for doubtful accounts on its historical collection experience and a review in each period of the status of the then outstanding accounts receivable.
A reconciliation of the beginning and ending amount of allowance for doubtful accounts is as follows (in thousands):
The Company recognized bad debt expense of $0.5 million, $0.8 million, and $1.4 million for the years ended December 31, 2019, 2018, and 2017, respectively.
Table:
 | 2019 | 2018 | 2017
Beginning balance, January 1 | $2,429 | $7,478 | $3,532
Additions and adjustments | 1,074 | 1,691 | 7,680
Write-offs | (2,128) | (6,740) | (3,734)
Ending balance, December 31 | $1,375 | $2,429 | $7,478


Question: What was the beginning balance in January 1 2019?
Answer: $2,429
9. BALANCE SHEET DETAILS
Prepaid expenses and other assets consist of the following (in thousands):
Table:
 | Fiscal year-end | 
 | 2019 | 2018
Prepaid and refundable income taxes | $44,096 | $37,884
Other taxes receivable | 11,208 | 16,930
Prepaid expenses and other assets | 22,689 | 30,266
Total prepaid expenses and other assets | $77,993 | $85,080


Question: In which year was Other taxes receivable larger?
Answer: 2018
Calculation: 16,930>11,208
20. Computation of Basic/Diluted Earnings Per Common Share
The following table sets forth the computation of basic and diluted earnings per common share (amounts in millions, except per share data):
The vesting of certain of our employee-related restricted stock units and options is contingent upon the satisfaction of predefined performance measures. The shares underlying these equity awards are included in the weighted-average dilutive common shares only if the performance measures are met as of the end of the reporting period. Additionally, potential common shares are not included in the denominator of the diluted earnings per common share calculation when the inclusion of such shares would be anti-dilutive.
Table:
 |  | For the Years Ended December 31, | 
 | 2019 | 2018 | 2017
Numerator: |  |  | 
Consolidated net income | $1,503 | $1,848 | $273
Denominator: |  |  | 
Denominator for basic earnings per common share—weighted-average common shares outstanding | 767 | 762 | 754
Effect of dilutive stock options and awards under the treasury stock method | 4 | 9 | 12
Denominator for diluted earnings per common share—weighted-average common shares outstanding plus dilutive common shares under the treasury stock method | 771 | 771 | 766
Basic earnings per common share | $1.96 | $2.43 | $0.36
Diluted earnings per common share | $1.95 | $2.40 | $0.36


Question: What was the percentage change in basic earnings per common share between 2017 and 2018?
Answer: 575
Calculation: ($2.43-$0.36)/$0.36
AMERICAN TOWER CORPORATION AND SUBSIDIARIES NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Tabular amounts in millions, unless otherwise disclosed)
The components of the net deferred tax asset and liability and related valuation allowance were as follows:
The Company provides valuation allowances if, based on the available evidence, it is more likely than not that some or all of the deferred tax assets will not be realized. Management assesses the available evidence to estimate if sufficient future taxable income will be generated to use the existing deferred tax assets.
Table:
 | December 31, 2019 | December 31, 2018
Assets: |  | 
Operating lease liability | $878.5 | $—
Net operating loss carryforwards | 356.6 | 264.9
Accrued asset retirement obligations | 174.9 | 165.7
Stock-based compensation | 5.6 | 6.3
Unearned revenue | 31.7 | 28.3
Unrealized loss on foreign currency | 3.8 | 12.9
Other accruals and allowances | 65.6 | 78.6
Items not currently deductible and other | 26.1 | 26.2
Liabilities: |  | 
Depreciation and amortization | (1,040.3) | (757.0)
Right-of-use asset | (865.1) | —
Deferred rent | (79.7) | (36.9)
Other | — | (15.3)
Subtotal | (442.3) | (226.3)
Valuation allowance | (194.2) | (151.9)
Net deferred tax liabilities | $(636.5) | $(378.2)


Question: How many components of assets in 2019 were above $50 million?
Answer: 4
Calculation:  Operating lease liability ##Net operating loss carryforwards##Accrued asset retirement obligations##Other accruals and allowances
Systems revenue of $7,604 million decreased 5.3 percent year to year as reported (4 percent adjusted for currency). Systems Hardware revenue of $5,918 million declined 7.0 percent as reported (6 percent adjusted for currency), driven primarily by declines in Power Systems and Storage Systems. Operating Systems Software revenue of $1,686 million grew 0.9 percent as reported (3 percent adjusted for currency) compared to the prior year.
Within Systems Hardware, IBM Z revenue decreased 1.1 percent as reported but was essentially flat adjusted for currency, reflecting the mainframe product cycles. Revenue declined through the first three quarters due to the end of the z14 product cycle, but there was strong growth in the fourth quarter driven by z15 shipments. The z15’s strong performance demonstrates client demand for technology that offers improved data privacy and resiliency in the hybrid cloud environment.
The z15 mainframe’s capabilities extend the platform’s differentiation with encryption everywhere, cloud-native development and instant recovery. In October, we announced OpenShift for IBM Z, bringing together the industry’s most comprehensive enterprise container and Kubernetes platform with the enterprise server
platforms of IBM Z and LinuxONE. IBM Z continues to deliver a high-value, secure and scalable platform for our clients.
Power Systems revenue decreased 13.5 percent as reported (12 percent adjusted for currency) year to year, due to the strong performance during the second half of 2018 driven by Linux and the introduction of the POWER9-based architecture in our mid-range and high-end products.
Storage Systems revenue decreased 8.9 percent as reported (8 percent adjusted for currency) year to year, with improvements in year-to-year performance in the fourth quarter of 2019, driven primarily by the launch of the next generation high-end storage
system DS8900 in November.
Within Systems, cloud revenue of $2.9 billion declined 4 percent as reported and 3 percent adjusted for currency.
Table:
($ in millions) |  |  |  | 
For the year ended December 31: | 2019 | 2018 | Yr.-to-Yr. Percent Change | Yr.-to-Yr. Percent Change Adjusted for Currency
Systems external revenue | $7,604 | $8,034 | (5.3)% | (4.1)%
Systems Hardware | $5,918 | $6,363 | (7.0)% | (5.9)%
IBM Z |  |  | (1.1) | (0.3)
Power Systems |  |  | (13.5) | (12.1)
Storage Systems |  |  | (8.9) | (7.6)
Operating Systems Software | 1,686 | 1,671 | 0.9 | 2.6


Question: What is the increase / (decrease) in Operating Systems Software from 2018 to 2019?
Answer: 15
Calculation: 1,686 - 1,671
Expected Cash Flows
The Combined Pension Plan payments, post-retirement health care benefit payments and premiums, and life insurance premium payments are either distributed from plan assets or paid by us. The estimated benefit payments provided below are based on actuarial assumptions using the demographics of the employee and retiree populations and have been reduced by estimated participant contributions.
Table:
 | Combined Pension Plan | Post-Retirement Benefit Plans | Medicare Part D Subsidy Receipts
 |  | (Dollars in millions) | 
Estimated future benefit payments: |  |  | 
2020 | $971 | 242 | (6)
2021 | 921 | 238 | (6)
2022 | 893 | 232 | (6)
2023 | 868 | 226 | (5)
2024 | 842 | 219 | (5)
2025-2029 | 3,813 | 986 | (20)


Question: How many different period segments are highlighted in the table?
Answer: 6
Calculation: 2020##2021##2022##2023##2024##2025-2029
The fair value of our foreign exchange forward contracts is presented on a gross basis in our Condensed Consolidated Balance Sheets. To mitigate losses in the event of nonperformance by counterparties, we have entered into master netting arrangements with our counterparties that allow us to settle payments on a net basis. The effect of netting on our derivative assets and liabilities was not material as of March 29, 2019 and March 30, 2018.
The notional amount of our outstanding foreign exchange forward contracts in U.S. dollar equivalent was as follows:
Table:
(In millions) | March 29, 2019 | March 30, 2018
Net investment hedges |  | 
Foreign exchange forward contracts sold | $116 | $—
Balance sheet contracts |  | 
Foreign exchange forward contracts purchased | $963 | $697
Foreign exchange forward contracts sold | $122 | $151


Question: What is the total Foreign exchange forward contracts purchased for March 29, 2019 and March 30, 2018?
Answer: 1660
Calculation: 963+697
AMERICAN TOWER CORPORATION AND SUBSIDIARIES NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Tabular amounts in millions, unless otherwise disclosed)
As of December 31, 2019, the Company does not have material operating or financing leases that have not yet commenced.
Maturities of operating and finance lease liabilities as of December 31, 2019 were as follows:
(1) Balances are translated at the applicable period-end exchange rate, which may impact comparability between periods.
Table:
Fiscal Year | Operating Lease (1) | Finance Lease (1)
2020 | $904.3 | $8.0
2021 | 878.3 | 5.3
2022 | 845.5 | 4.3
2023 | 810.3 | 3.0
2024 | 766.4 | 2.1
Thereafter | 6,140.1 | 45.4
Total lease payments | 10,344.9 | 68.1
Less amounts representing interest | (3,340.0) | (37.4)
Total lease liability | 7,004.9 | 30.7
Less current portion of lease liability | 494.5 | 6.7
Non-current lease liability | $6,510.4 | $24.0


Question: What were the total lease payments for operating lease?
Answer: 10,344.9
Interest Expense
Interest expense includes interest on total long-term debt. The following table presents the amount of gross interest expense, net of capitalized interest:
Table:
 |  | Years Ended December 31, | 
 | 2019 | 2018 | 2017
 |  | (Dollars in millions) | 
Interest expense: |  |  | 
Gross interest expense | $2,093 | 2,230 | 1,559
Capitalized interest | (72) | (53) | (78)
Total interest expense | $2,021 | 2,177 | 1,481


Question: What does interest expense include?
Answer: interest on total long-term debt.
Discontinued Operations
On October 27, 2017, we entered into a purchase agreement to sell the Compute business. In consideration for the transfer and sale of the Compute business, we received an equity interest in the buyer valued at approximately $36.5 million, representing the carrying value of the assets divested and representing less than 20.0% of the buyer's total outstanding equity. The operations of the Compute business were accounted for as discontinued operations through the date of divestiture.
We also entered into a transition services agreement (the "Compute TSA"), pursuant to which we agreed to perform certain primarily general and administrative functions on the buyer's behalf during a migration period and for which we are reimbursed for costs incurred.
During the fiscal year 2019, we received $0.1 million of reimbursements under the Compute TSA, which was recorded as a reduction of our general and administrative expenses. During the fiscal year 2018, we received $3.6 million of reimbursements under the Compute TSA, which was recorded as a reduction of our general and administrative expenses.
In August of fiscal year 2015, we sold our Automotive business, as the Automotive business was not consistent with our long-term strategic vision from both a growth and profitability perspective.
Additionally, we entered into a Consulting Agreement with the buyer pursuant to which we were to provide the buyer with certain non-design advisory services for a period of two years following the closing of the transaction for up to $15.0 million, from which we have recorded $7.5 million as other income during both fiscal years 2017 and 2016. No income was recognized during fiscal years 2019 or 2018. During fiscal year 2017, we received $18.0 million, the full amount of the indemnification escrow.
The accompanying Consolidated Statements of Operations includes the following operating results related to these discontinued operations (in thousands):
(1) Amounts are associated with the Compute business. (2) Amounts are associated with the Automotive business.
Table:
 | Fiscal Years | 
 | 2018 | 2017
Revenue (1) | $— | $660
Cost of revenue (1) | (596) | 2,252
Gross profit (loss) | 596 | (1,592)
Operating expenses:    |  | 
Research and development (1) | 5,251 | 29,167
Selling, general and administrative (1) | 1,560 | 13,840
Total operating expenses | 6,811 | 43,007
Loss from discontinued operations (1) | (6,215) | (44,599)
Other income (2) | — | 7,500
Gain on sale (2) | — | 18,022
Loss income before income taxes | (6,215) | (19,077)
Income tax provision (benefit) | — | —
Loss income from discontinued operations | (6,215) | (19,077)
Cash flow used in Operating Activities (1) | (10,734) | (42,776)
Cash flow from Investing Activities (2) | — | 25,522


Question: What was the Revenue in 2018 and 2017 respectively?
Answer: $—, $660
The amount of our operating expenses increased by $43 million on a sequential basis, mainly driven by seasonality and salary dynamic.
On a year-over-year basis, our operating expenses increased by $42 million, mainly due to salary dynamic and increased spending on certain R&D programs, partially offset by favorable currency effects, net of hedging.
Fourth quarter 2019 R&D expenses were net of research tax credits in France and Italy, which amounted to $37 million, compared to $29 million in the third quarter of 2019 and $39 million in the fourth quarter of 2018.
Table:
 |  | Three Months Ended |  | % Variation | 
 | December 31, 2019 | September 29, 2019 | December 31, 2018 | Sequential | Year-Over-Year
 |  |  | (Unaudited, in millions) |  | 
Selling, general and administrative expenses | $(285) | $(267) | $(285) | (6.3)% | 0.4%
Research and development expenses | (387) | (362) | (345) | (7.0) | (12.3)
Total operating expenses | $(672) | $(629) | $(630) | (6.7)% | (6.6)%
As percentage of net revenues | (24.4)% | (24.7)% | (23.8)% | +30 bps | -60 bps


Question: Why did on sequential basis the operating expenses increased?
Answer: driven by seasonality and salary dynamic.