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:

	September 30			December 31
	2018			2017
Finished products	$	637.6		$	515.7
Work in process and raw materials		834.2			586.2
		1,471.8			1,101.9
Less LIFO reserve		(179.8	)		(173.5	)
	$	1,292.0		$	928.4

Under the LIFO method of accounting (used for approximately 46% of September 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.