NOTE D - Inventories

Inventories are stated at the lower of cost or market. Cost of inventories in the U.S. is determined principally by the last‑in, first-out (LIFO) method. Cost of all other inventories is determined principally by the first-in, first-out (FIFO) method.

Inventories include the following:

	June 30			December 31
	2018			2017
Finished products	$	590.6		$	515.7
Work in process and raw materials		846.0			586.2
		1,436.6			1,101.9
Less LIFO reserve		(178.1	)		(173.5	)
	$	1,258.5		$	928.4

Under the LIFO method of accounting (used for approximately 45% of June 30, 2018 inventories), an actual valuation can be made only at the end of each year based on year-end inventory levels and costs. Accordingly, interim valuations are based on management’s estimates of those year-end amounts.