INVENTORIES
Our inventories represent primarily business-jet components and are stated at the lower of cost or net realizable value. Work-in-process represents largely labor, material and overhead costs associated with aircraft in the manufacturing process and is based primarily on the estimated average unit cost of the units in a production lot. Raw materials are valued primarily on the first-in, first-out method. We record pre-owned aircraft acquired in connection with the sale of new aircraft at the lower of the trade-in value or the estimated net realizable value.
Inventories consisted of the following:
|
| | | | | | | |
December 31 | 2012 | | 2013 |
Work in process | $ | 1,518 |
| | $ | 1,635 |
|
Raw materials | 1,109 |
| | 1,258 |
|
Finished goods | 69 |
| | 57 |
|
Pre-owned aircraft | 80 |
| | 18 |
|
Total inventories | $ | 2,776 |
| | $ | 2,968 |
|
