The cumulative effect of the changes made to our Consolidated Balance Sheet as of January 1, 2018 for the adoption of ASU 2014-09 and ASU 2018-02, were as follows:



Dollar amounts in millions	Balance at December 31, 2017			ASU 2014-09			ASU 2018-02			Balance at January 1, 2018
Receivables, net of allowance for doubtful accounts	$	142.5		$	(21.7	)	$	—		$	120.8
Inventories	259.1			15.8			—			274.9
Deferred tax asset	2.5			1.5			—			4.0

Retained earnings	1,280.1			(4.4		)	16.7			1,292.4
Accumulated comprehensive loss	(122.1		)	—			(16.7		)	(138.8		)

In accordance with the new revenue standard requirements, the disclosure of the impact on our Consolidated Statement of Income and Consolidated Balance Sheet is as follows:



	Year ended December 31, 2018
Dollar amounts in millions	As reported		Balances without adoption of ASC 606		Effect of Change Higher (Lower)
Consolidated Statement of Income
Net sales	$	2,828.0	$	2,829.6	$	(1.6	)
Cost of sales	2,084.0		2,082.0		2.0
Selling, general and administrative expenses	209.3		213.8		(4.5		)
Provision for income taxes	122.3		122.1		0.2
Net income	394.6		393.9		0.7

Consolidated Balance Sheet	December 31, 2018
Receivables, net of allowance for doubtful accounts	$	127.6	$	146.6	$	(19.0	)
Inventory	$	273.0	$	259.2	$	13.8
Income taxes payable	$	21.0	$	22.3	$	(1.3	)
Retained earnings	$	1,612.6	$	1,616.3	$	(3.7	)

On January 1, 2018, we adopted ASU 2017-07, "Retirement Benefits - Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Cost" (an amendment to ASC 715), to improve the presentation of net periodic pension and postretirement benefit costs. We retrospectively adopted the presentation of service cost separate from the other components of net periodic costs. The interest cost, expected return on assets, amortization of prior service costs, amortization of net actuarial losses and settlement costs have been reclassified from Cost of sales, Selling, general and administrative expenses and Other operating credits and charges to Non-operating income (expense). We elected to apply the practical expedient which allows us to reclassify amounts disclosed previously in the retirement benefits note as the basis for applying retrospective presentation for comparative periods as it is impracticable to determine the disaggregation of the cost components for amounts capitalized and amortized in those periods. On a prospective basis, the other components of net periodic benefit costs (excluding service cost) will not be included in amounts capitalized in inventory or property, plant, and equipment.

In addition to the effects of ASU 2017-07, we have reclassified depreciation and amortization into the financial statement caption that reflects the category of the expense to be more comparable with our peers.

The effect of the retrospective presentation change related to the net periodic cost of our defined benefit pension and postretirement plans and the reclassification of depreciation and amortization on our Consolidated Statement of Income for the years ended December 31, 2017 and 2016 is as follows:



	Year ended December 31, 2017
Dollar amounts in millions	As reported			ASU 2017-07			Reclassifications			As adjusted
Consolidated Statement of Income
Cost of sales (exclusive of depreciation and amortization shown separately below)	$	1,882.0		$	(4.0	)	$	120.1		$	1,998.1
Depreciation and amortization	123.3			—			(123.3		)	—
Selling, general and administrative expenses	190.4			(2.3		)	3.2			191.3
Other operating credits and charges, net	8.0			(3.1		)	—			4.9
Income from operations	523.4			9.4			—			532.8
Total non-operating income (expense)	(13.2		)	(9.4		)	—			(22.6		)



	Year ended December 31, 2016
Dollar amounts in millions	As reported			ASU 2017-07			Reclassifications		As adjusted
Consolidated Statement of Income
Cost of sales (exclusive of depreciation and amortization shown separately below)	$	1,724.0		$	(4.5	)	109.6		$	1,829.1
Depreciation and amortization	112.8						(112.8	)	—
Selling, general and administrative expenses	183.6			(1.7		)	3.2		185.1
Income from operations	204.0			6.2			—		210.2
Total non-operating income (expense)	(39.1		)	(6.2		)	—		(45.3		)

On January 1, 2018, we adopted ASU 2016-18, "Statement of Cash Flows (Topic 230): Restricted Cash." The adoption of this standard requires the inclusion of the change in amounts described as restricted cash or restricted cash equivalents to be included as part of our Consolidated Statement of Cash Flows.

In accordance with disclosure requirements of this new accounting standard, the impact of adoption on our Consolidated Statement of Cash Flows for the years ended December 31, 2017 and 2016 is as follows:



	Year ended December 31, 2017
Dollar amounts in millions	As reported			ASU 2016-18		As adjusted
Consolidated Statement of Cash Flows
Net cash provided by (used in) investing activities	$	(198.6	)	$	—	$	(198.6	)
Effect of exchange rate on cash, cash equivalents and restricted cash	3.0			0.1		3.1
Net increase in cash, cash equivalents and restricted cash	268.7			0.1		268.8
Cash, cash equivalents and restricted cash at beginning of period	659.3			13.2		672.5
Cash, cash equivalents and restricted cash at end of period	928.0			13.3		941.3



	Year ended December 31, 2016
Dollar amounts in millions	As reported		ASU 2016-18			As adjusted
Consolidated Statement of Cash Flows
Net cash provided by (used in) investing activities	$	286.3	$	(1.2	)	$	285.1
Effect of exchange rate on cash, cash equivalents and restricted cash	3.0		0.1			3.1
Net increase in cash, cash equivalents and restricted cash	224.6		(1.1		)	223.5
Cash, cash equivalents and restricted cash at beginning of period	434.7		14.3			449.0
Cash, cash equivalents and restricted cash at end of period	659.3		13.2			672.5