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Basis of Presentation and Significant Accounting Policies (Tables)
 12 Months Ended
Dec. 31, 2018
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Impact of Adoption of Accounting Standard Updates
The impacts on our prior period consolidated financial statements of adopting the new standards described above are summarized in the following tables:
Adoption of the standard related to pension and postretirement benefit costs impacted our prior period consolidated statements of income as follows:
 
 
2017
(MILLIONS OF DOLLARS)
 
As Previously Reported

 
Effect of Change
Higher/(Lower)

 
As Restated

Cost of sales
 
$
11,240

 
$
(12
)
 
$
11,228

Selling, informational and administrative expenses
 
14,784

 
20

 
14,804

Research and development expenses
 
7,657

 
27

 
7,683

Restructuring charges and certain acquisition-related costs
 
487

 
(136
)
 
351

Other (income)/deductions––net
 
1,315

 
101

 
1,416

Income from continuing operations before provision for taxes on income
 
12,305

 
—

 
12,305

 
 
 
 
 
 
 
 
 
2016
(MILLIONS OF DOLLARS)
 
As Previously Reported

 
Effect of Change
Higher/(Lower)

 
As Restated

Cost of sales

$
12,329


$
(7
)

$
12,322

Selling, informational and administrative expenses

14,837


7


14,844

Research and development expenses

7,872


20


7,892

Restructuring charges and certain acquisition-related costs

1,724


(159
)

1,565

Other (income)/deductions––net

3,655


139


3,794

Income from continuing operations before provision for taxes on income

8,351


—


8,351

Adoption of the standards impacted our consolidated balance sheet as follows:
 
 
 
 
Effect of New Accounting Standards Higher/(Lower)
 
 
(MILLIONS OF DOLLARS)
 
As Previously Reported Balance at December 31, 2017

 
Revenues

 
Financial Assets and Liabilities

 
Income Tax Accounting

 
Reclassification of Certain Tax Effects from AOCI

 
Balance at January 1, 2018

Trade accounts receivable
 
$
8,221

 
$
13

 
$
—

 
$
—

 
$
—

 
$
8,234

Inventories
 
7,578

 
(11
)
 
—

 
—

 
—

 
7,567

Current tax assets
 
3,050

 
(11
)
 
—

 
(3
)
 
—

 
3,036

Noncurrent deferred tax assets and other noncurrent tax assets
 
1,855

 
(17
)
 
—

 
—

 
—

 
1,838

Other noncurrent assets
 
3,227

 
—

 
—

 
(204
)
 
—

 
3,023

Other current liabilities
 
11,115

 
(123
)
 
—

 
—

 
—

 
10,992

Noncurrent deferred tax liabilities
 
3,900

 
106

 
—

 
(18
)
 
—

 
3,988

Other noncurrent liabilities
 
6,149

 
(459
)
 
—

 
—

 
—

 
5,690

Retained earnings
 
85,291

 
450

 
419

 
(189
)
 
495

 
86,466

Accumulated other comprehensive loss
 
(9,321
)
 
—

 
(419
)
 
—

 
(495
)
 
(10,235
)
Adoption of the standards related to the classification of certain transactions in the statements of cash flows and the presentation of restricted cash in the statement of cash flows impacted our consolidated statement of cash flows as follows:
 
 
2017
 
 
 
 
Effect of New Accounting Standards Inflow/(Outflow)
 
 
(MILLIONS OF DOLLARS)
 
As Previously Reported

 
Cash Flow Classification

 
Restricted Cash

 
As Restated

Operating Activities
 
 
 
 
 
 
 
 
Other adjustments, net
 
$
50

 
$
294

 
$
—

 
$
344

Other changes in assets and liabilities, net of acquisitions and divestitures––Other assets
 
(31
)
 
—

 
38

 
7

Investing Activities
 
 
 
 
 
 
 
 
Proceeds from redemptions/sales of short-term investments
 
10,307

 
—

 
(5
)
 
10,302

Proceeds from redemptions/sales of long-term investments
 
3,594

 
—

 
(14
)
 
3,579

Other investing activities, net
 
650

 
21

 
—

 
671

Financing Activities
 
 
 
 
 
 
 
 
Principal payments on short-term borrowings
 
(9,990
)
 
43

 
—

 
(9,947
)
Net proceeds from short-term borrowings with original maturities of three months or less
 
1,401

 
20

 
—

 
1,422

Other financing activities, net
 
(233
)
 
(378
)
 
—

 
(611
)
Net decrease in cash and cash equivalents and restricted cash and cash equivalents
 
(1,254
)
 
—

 
19

 
(1,235
)
Cash and cash equivalents and restricted cash and cash equivalents, beginning
 
2,595

 
—

 
70

 
2,666

Cash and cash equivalents and restricted cash and cash equivalents, ending
 
1,342

 
—

 
89

 
1,431

 
 
 
 
 
 
 
 
 
 
 
2016
 
 
 
 
Effect of New Accounting Standards Inflow/(Outflow)
 
 
(MILLIONS OF DOLLARS)
 
As Previously Reported

 
Cash Flow Classification

 
Restricted Cash

 
As Restated

Operating Activities
 
 
 
 
 
 
 
 
Other adjustments, net
 
$
208

 
$
278

 
$
—

 
$
487

Other changes in assets and liabilities, net of acquisitions and divestitures––Other assets
 
(60
)
 
—

 
13

 
(47
)
Investing Activities
 
 
 
 
 
 
 
 
Proceeds from redemptions/sales of short-term investments
 
29,436

 
—

 
(22
)
 
29,414

Proceeds from redemptions/sales of long-term investments
 
11,254

 
—

 
14

 
11,268

Other investing activities, net
 
51

 
28

 
—

 
80

Financing Activities
 
 
 
 
 
 
 
 
Principal payments on short-term borrowings
 
(5,102
)
 
9

 
—

 
(5,093
)
Net (payments on)/proceeds from short-term borrowings with original maturities of three months or less
 
(3,084
)
 
24

 
—

 
(3,060
)
Other financing activities, net
 
(196
)
 
(340
)
 
—

 
(536
)
Net decrease in cash and cash equivalents and restricted cash and cash equivalents
 
(1,046
)
 
—

 
5

 
(1,041
)
Cash and cash equivalents and restricted cash and cash equivalents, beginning
 
3,641

 
—

 
65

 
3,707

Cash and cash equivalents and restricted cash and cash equivalents, ending
 
2,595

 
—

 
70

 
2,666
Reconciliation of Cash, Cash Equivalents and Restricted Cash
The following table provides a reconciliation of cash, cash equivalents and restricted cash reported within the consolidated balance sheet that sum to the total of the same amounts shown in the consolidated statements of cash flows:
(MILLIONS OF DOLLARS)
 
December 31, 2018

 
December 31,
2017

Cash and cash equivalents
 
$
1,139

 
$
1,342

Restricted cash and cash equivalents in Short-term investments
 
32

 
—

Restricted cash and cash equivalents in Long-term investments
 
55

 
—

Restricted cash and cash equivalents in Other current assets
 
—

 
14

Restricted cash and cash equivalents in Other noncurrent assets
 
—

 
75

Total cash and cash equivalents and restricted cash and cash equivalents shown in the consolidated balance sheets
 
$
1,225

 
$
1,431
Information About Balance Sheet Classification of Accruals
The following table provides information about the balance sheet classification of these accruals:
  
 
As of December 31,
(MILLIONS OF DOLLARS)
 
2018

 
2017

Reserve against Trade accounts receivable, less allowance for doubtful accounts
 
$
1,288

 
$
1,352

 
 
 
 
 
Other current liabilities:
 
 
 
 
Accrued rebates
 
3,208

 
2,674

Other accruals
 
531

 
512

 
 
 
 
 
Other noncurrent liabilities
 
399

 
385

Total accrued rebates and other accruals
 
$
5,426

 
$
4,923