|6 Months Ended|
Jun. 30, 2018
|Inventory Disclosure [Abstract]|
Inventories were as follows:
Inventories include costs attributable to direct labor and manufacturing overhead, but are primarily comprised of metal costs. The metals component of inventories that is valued on a LIFO basis comprised 68% and 65% of total inventory at June 30, 2018 and December 31, 2017, respectively. Other manufactured inventories, including the direct labor and manufacturing overhead components and certain non-U.S. inventories, are valued on a first-in, first-out (“FIFO”) basis.
During the three and six months ended June 30, 2018 and 2017, we recorded adjustments for certain domestic metal inventory from the fluctuations in market value of these metals. For the three months ended June 30, 2018 and 2017, these adjustments decreased cost of sales by $0.2 million and increased cost of sales by $0.7 million, respectively. For the six months ended June 30, 2018 and 2017, these adjustments decreased cost of sales by $1.1 million and $0.1 million, respectively.
Below is a summary of inventories valued at period-end market values compared to the as reported values:
The entire disclosure for inventory. Includes, but is not limited to, the basis of stating inventory, the method of determining inventory cost, the classes of inventory, and the nature of the cost elements included in inventory.
Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef