Inventories

12 Months Ended

Dec. 31, 2019

INVENTORIES

Inventories are stated at the lower of cost (first-in, first-out) or net realizable value. Net realizable value is the estimated selling price in the ordinary course of business, less reasonably predictable costs of completion, disposal, and transportation. We write down the carrying value of inventory for estimated obsolescence by an amount equal to the difference between the cost of inventory and the estimated market value when warranted based on assumptions of future demand, market conditions, remaining shelf life, or product functionality. If actual market conditions or results of estimated functionality are less favorable than those we estimated, additional inventory write-downs may be required, which would have a negative effect on results of operations.

Unpaid inventory reflected within accounts payable in our consolidated balance sheets was $39.5 million, $41.3 million, and $37.2 million at December 31, 2019, 2018 and 2017, respectively.

The components of inventories are as follows:



(in thousands)	December 31, 2019		December 31, 2018

Raw materials	$	41,202	$	31,973
Work-in-process	20,077		17,009
Finished goods	133,740		124,321
Inventories	$	195,019	$	173,303