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Summary of Significant Accounting Policies (Tables)
 6 Months Ended
Jul. 01, 2018
Accounting Policies [Abstract]  
Schedule of New Accounting Pronouncements
As required by the transition provisions of this update, the Company made the following reclassifications to the 2017 fiscal second quarter and fiscal six months Consolidated Statement of Earnings to retroactively apply classification of the service cost component and the other components of NPBC:

(Dollars In millions)
 
Increase (Decrease) to Net Expense
 
 
Fiscal Second Quarter Ended
 
Fiscal Six Months Ended
Cost of products sold
 
$
23

 
46

Selling, marketing and administrative expenses
 
27

 
53

Research and development expense
 
11

 
21

Other (income) expense, net
 
(61
)
 
(120
)
Earnings before provision for taxes on income
 
$
—

 
—


The following table summarizes the cumulative effect adjustments made to the 2018 opening balance of retained earnings upon adoption of the new accounting standards mentioned above:
(Dollars in Millions)
 
Cumulative Effect Adjustment Increase (Decrease) to Retained Earnings
ASU 2014-09 - Revenue from Contracts with Customers
 
$
(47
)
ASU 2016-01 - Financial Instruments
 
232

ASU 2016-16 - Income Taxes: Intra-Entity Transfers
 
1,311

Total
 
$
1,496

In accordance with the new standard requirements, the disclosure of the impact of adoption on the Company's Consolidated Statement of Earnings and Balance Sheet was as follows:
Statement of Earnings - For the fiscal six months ended July 1, 2018
(Dollars in millions)
As Reported
 
Effect of change
 
Balance without adoption of ASC 606
Sales to customers
$
40,839

 
(40
)
 
40,799

 
 
 
 
 
 
Net earnings
8,321

 
(33
)
 
8,288

 
 
 
 
 
 
Statement of Earnings - For the fiscal second quarter ended July 1, 2018
(Dollars in millions)
As Reported
 
Effect of change
 
Balance without adoption of ASC 606
Sales to customers
$
20,830

 
(11
)
 
20,819

 
 
 
 
 
 
Net earnings
3,954

 
(8
)
 
3,946

 
 
 
 
 
 
Balance Sheet - As of July 1, 2018
 
As Reported
 
Effect of change
 
Balance without adoption of ASC 606
Assets
155,365

 
24

 
155,389

 
 
 
 
 
 
Liabilities
92,476

 
10

 
92,486

 
 
 
 
 
 
Equity
$
62,889

 
14

 
62,903