Best Buy 2016 Annual Report Download - page 79

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71
The following table sets forth by level within the fair value hierarchy, our financial assets and liabilities that were accounted for
at fair value on a recurring basis at January 30, 2016, and January 31, 2015, according to the valuation techniques we used to
determine their fair values ($ in millions):
Fair Value at
Fair Value
Hierarchy January 30, 2016 January 31, 2015
Assets
Cash and cash equivalents
Money market funds Level 1 $ 51 $ 265
Corporate bonds Level 2 — 13
Commercial paper Level 2 265 165
Time deposits Level 2 306 100
Short-term investments
Corporate bonds Level 2 193 276
Commercial paper Level 2 122 306
Time deposits Level 2 990 874
Other current assets
Foreign currency derivative instruments Level 2 18 30
Time deposits Level 2 79 83
Other assets
Interest rate swap derivative instruments Level 2 25 1
Auction rate securities Level 3 2 2
Marketable securities that fund deferred compensation Level 1 96 97
Assets held for sale
Cash and cash equivalents
Money market funds Level 1 — 16
Time deposits Level 2 — 124
Liabilities
Accrued Liabilities
Foreign currency derivative instruments Level 2 1 —
There were no transfers between levels during fiscal 2016 and 2015. In addition, there were no changes in the beginning and
ending balances of items measured at fair value on a recurring basis in the table above that used significant unobservable inputs
(Level 3) for fiscal 2016 and 2015.
The following methods and assumptions were used to estimate the fair value of each class of financial instrument:
Money Market Funds. Our money market fund investments were measured at fair value as they trade in an active market
using quoted market prices and, therefore, are classified as Level 1.
Corporate Bonds. Our corporate bond investments were measured at fair value using quoted market prices. They were
classified as Level 2 as they trade in a non-active market for which bond prices are readily available.
Commercial Paper. Our investments in commercial paper were measured using inputs based upon quoted prices for similar
instruments in active markets and, therefore, were classified as Level 2.
Time Deposits. Our time deposits are balances held with banking institutions that cannot be withdrawn for specified terms
without a penalty. Time deposits are held at face value plus accrued interest, which approximates fair value, and are
classified as Level 2.