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Significant Accounting Policies (Tables)
 12 Months Ended
Sep. 30, 2019
Valuation and Qualifying Accounts Disclosure [Line Items]  
Summary of Inventories

The following summarizes Ashland’s inventories as of the Consolidated Balance Sheet dates.

(In millions)

 

2019

 

 

2018

 

Finished products

 

$

395

 

 

$

381

 

Raw materials, supplies and work in process

 

 

197

 

 

 

215

 

LIFO benefit (reserve)

 

 

5

 

 

 

—

 

 

 

$

597

 

 

$

596

 

 
Computation of Basic and Diluted Earnings per Share The following is the computation of basic and diluted earnings per share (EPS) from continuing operations attributable to Ashland. Earnings per share are reported under the treasury stock method. Stock options and SARs for each reported year whose grant price was greater than the market price of Ashland Common Stock at the end of each fiscal year were not included in the computation of loss from continuing operations per diluted share because the effect of these instruments would be antidilutive. The total number of these shares outstanding was 1.0 million for 2019, 0.7 million for 2018 and 1.1 million for 2017.

(In millions except per share data)

 

2019

 

 

2018

 

 

2017

 

Numerator

 

 

 

 

 

 

 

 

 

 

 

 

Numerator for basic and diluted EPS -

 

 

 

 

 

 

 

 

 

 

 

 

Income (loss) from continuing operations, net of tax

 

$

24

 

 

$

19

 

 

$

(180

)

Denominator

 

 

 

 

 

 

 

 

 

 

 

 

Denominator for basic EPS - Weighted-average common shares

   outstanding

 

 

62

 

 

 

63

 

 

 

62

 

Share based awards convertible to common shares (a)

 

 

1

 

 

 

1

 

 

 

—

 

Denominator for diluted EPS - Adjusted weighted - average shares and

   assumed conversions

 

 

63

 

 

 

64

 

 

 

62

 

EPS from continuing operations

 

 

 

 

 

 

 

 

 

 

 

 

Basic

 

$

0.39

 

 

$

0.30

 

 

$

(2.90

)

Diluted

 

 

0.39

 

 

 

0.29

 

 

 

(2.90

)

 

 

 

 

 

 

 

 

 

 

 

 

 

(a)

As a result of the loss from continuing operations for 2017, the effect of the share-based awards convertible to common shares would be antidilutive. In accordance with U.S. GAAP, they have been excluded from the diluted EPS calculation.
Allowance for Doubtful Accounts [Member]  
Valuation and Qualifying Accounts Disclosure [Line Items]  
Schedule of Valuation and Qualifying Accounts Disclosure

A progression of activity in the allowance for doubtful accounts is presented in the following table.

(In millions)

 

2019

 

 

2018

 

 

2017

 

Allowance for doubtful accounts - beginning of year

 

$

3

 

 

$

3

 

 

$

5

 

Adjustments to net income

 

 

—

 

 

 

1

 

 

 

(1

)

Reserves utilized

 

 

—

 

 

 

(1

)

 

 

(1

)

Other changes

 

 

—

 

 

 

—

 

 

 

—

 

Allowance for doubtful accounts - end of year

 

$

3

 

 

$

3

 

 

$

3

 

 
Inventory Reserve [Member]  
Valuation and Qualifying Accounts Disclosure [Line Items]  
Schedule of Valuation and Qualifying Accounts Disclosure

A progression of activity in the inventory reserves, which reduce the amounts of finished products and raw materials, supplies and work in process reported, is presented in the following table.

(In millions)

 

2019

 

 

2018

 

 

2017

 

Inventory reserves - beginning of year

 

$

23

 

 

$

24

 

 

$

29

 

Adjustments to net income

 

 

3

 

 

 

4

 

 

 

2

 

Reserves utilized

 

 

(3

)

 

 

(5

)

 

 

(7

)

Inventory reserves - end of year

 

$

23

 

 

$

23

 

 

$

24

 
Valuation Allowance of Deferred Tax Assets [Member]  
Valuation and Qualifying Accounts Disclosure [Line Items]  
Schedule of Valuation and Qualifying Accounts Disclosure

A progression of activity in the tax valuation allowances is presented in the following table.

(In millions)

 

2019

 

 

2018

 

 

2017

 

Tax valuation allowances - beginning of year

 

$

79

 

 

$

122

 

 

$

136

 

Adjustments to income tax expense (benefit)

 

 

8

 

 

 

(5

)

 

 

27

 

Reserves utilized

 

 

(4

)

 

 

(38

)

 

 

(41

)

Tax valuation allowances - end of year

 

$

83

 

 

$

79

 

 

$

122