Quarterly report pursuant to Section 13 or 15(d)

Inventories

v3.5.0.2
Inventories
6 Months Ended
Jul. 02, 2016
Inventory, Net [Abstract]  
Inventories [Text Block]
Note 6: Inventories
We compute inventory cost on a first-in, first-out basis. Costs incurred to manufacture our products are included in the valuation of inventory beginning in the quarter in which a product meets the technical criteria to qualify for sale to customers. Prior to qualification for sale, costs that do not meet the criteria for research and development (R&D) are included in cost of sales in the period incurred. Inventories at the end of each period were as follows:
(In Millions)
 
Jul 2,
2016
 
Dec 26,
2015
Raw materials
 
$
651

 
$
532

Work in process
 
3,218

 
2,893

Finished goods
 
1,931

 
1,742

Total inventories
 
$
5,800

 
$
5,167