15. INVENTORIES Most inventories owned by Deere & Company and its US equipment subsidiaries are valued at cost, on the "last-in, first-out (LIFO) basis. Remaining inventories are generally valued at the lower of cost, on the "first-in, first-out" (FIFO) basis. Remaining inventories are generally valued at the lower of cost, on the "first-in, first-out" (FIFO) basis, or market. The value of gross inventories on the LIFO basis represented 59 of worldwide gross inventories at FIFO value on October 31, 2013 and 2012, respectively. If all inventories had been valued on a FIFO basis, estimated inventories by major classification at October 31 in millions of dollars would have been as follows: 2013 2012 $7.206 $5.640 2898 2.322 1666214,622 Raw materials and supplies Finished goods and parts 26.766 22.584 (8,388) (8.202) $18.378 $14.382 Total FIFO value Less adjustment to LiFO value We note that not all of Deere's inventories are reported using the same inventory costing method (companies can use different inventory costing methods for different inventory pools). a. At what dollar amount are Deere's inventories reported on its 2013 balance sheet? 18,378 million b. At what dollar amount would inventories have been reported on Deere's 2013 balance sheet had it used FIFO inventory costing? 26,766 million c. What curmulative effect has the use of LIFO inventory costing had, as of year-end 2013, on its pretax income compared with the pretax income it would have reported had it used FIFO inventory costing? (Show an increase as a positive number and a decrease as a negative number.) million