Analyzing and Interpreting Disclosures on Equity Method Investments Cummins Inc. (CMI) reports investments in affiliated companies, consisting mainly of investments in nine manufacturing joint ventures. Cummins reports those investments on its balance sheet at $958 million, and provides the following financial information of its investee companies in a footnote to its 10-K report: Equity Investee Financial Summary As of and for the years ended December 31 $ millions 2015 2014 2013 Net sales $5,946 $7,426 $7,799 Gross margin 1,265 1,539 1,719 Net income 521 630 690 Cummins' share of net income $273 $330 $325 Royalty and interest income 40 36 Total equity, royalty and interest income from investees $315 $370 $361 Current assets $2,458 $2,476 Noncurrent assets 1,539 1,667 Current liabilities (1,796) (1,875) Noncurrent liabilities (284) (420) Net assets $1,917 $1,848 Cummins' share of net assets $958 $956 42 (a) What assets and liabilities of unconsolidated affiliates are omitted from Cummins' balance sheet as a result of the equity method of accounting for those investments? Assets = $ * million