Inventories

12 Months Ended

Dec. 31, 2020

Inventory Disclosure [Abstract]

Inventories

Inventories

Inventories as of December 31, 2020 and 2019 consisted of the following.

	2020		2019
Raw materials, including parts and subassemblies	$	587.8	$	370.5
Work-in-process	88.6		47.6
Finished goods	258.4		71.4
	934.8		489.5
Excess of LIFO costs over FIFO costs	8.8		13.0
Inventories	$	943.6	$	502.5

As of December 31, 2020, $646.8 million, or 69%, of the Company’s inventory is accounted for on a first-in, first-out (“FIFO”) basis and the remaining $296.8 million, or 31%, is accounted for on a last-in, first-out (“LIFO”) basis.

As of December 31, 2019, $371.3 million, or 74%, of the Company’s inventory is accounted for on a first-in, first-out (“FIFO”) basis and the remaining $131.2 million, or 26%, is accounted for on a last-in, first-out (“LIFO”) basis.

Approximately $447.4 million of the increase in inventories from December 31, 2019 to December 31, 2020 is related to the acquisition of Ingersoll Rand Industrial. In the year ended December 31, 2020, the Company recorded non-cash adjustments of $45.9 million to reduce the carrying value of inventories acquired in the merger with Ingersoll Rand Industrial accounted for under the LIFO liquidation method, all of which was recognized in Cost of sales in the three month period ended June 30, 2020.