Coca-Cola Co. (KO)

Analysis of Inventory

Inventory Accounting Policy

Inventories consist primarily of raw materials and packaging (which includes ingredients and supplies) and finished goods (which include concentrates and syrups in The Coca-Cola Company's concentrate operations and finished beverages in finished product operations). Inventories are valued at the lower of cost or market. The Coca-Cola Company determines cost on the basis of the average cost or first-in, first-out methods.

Source: Coca-Cola Co., Annual Report

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Inventory Disclosure

Coca-Cola Co., Statement of Financial Position, Inventory

USD $ in millions

	Dec 31, 2013	Dec 31, 2012	Dec 31, 2011	Dec 31, 2010	Dec 31, 2009
Raw materials and packaging	1,692	1,773	1,680	1,425	1,366
Finished goods	1,240	1,171	1,198	1,029	697
Other	345	320	214	196	291
Inventories	3,277	3,264	3,092	2,650	2,354

Source: Based on data from Coca-Cola Co. Annual Reports

Item	Description	The company
Raw materials and packaging	Carrying amount as of the balance sheet date of unprocessed items to be consumed in the manufacturing or production process. Also includes purchased parts that will be used as components of a finished product.	Coca-Cola Co.'s raw materials and packaging increased from 2011 to 2012 but then slightly declined from 2012 to 2013 not reaching 2011 level.
Finished goods	Carrying amount as of the balance sheet date of merchandise or goods held by the company that are readily available for sale.	Coca-Cola Co.'s finished goods declined from 2011 to 2012 but then increased from 2012 to 2013 exceeding 2011 level.
Inventories	Carrying amount (lower of cost or market) as of the balance sheet date of inventories less all valuation and other allowances. Excludes noncurrent inventory balances (expected to remain on hand past one year or one operating cycle, if longer).	Coca-Cola Co.'s inventories increased from 2011 to 2012 and from 2012 to 2013.

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