Inventories are valued at the lower of cost or net realizable value using the first-in first-out method. Work-in-process includes material, labor and overhead. Finished goods includes completed wheels, parts and railcars not on lease or in transit. The following table summarizes the Company’s inventory balance:


(in millions)	February 28, 2022			August 31, 2021
Manufacturing supplies and raw materials	$	530.2		$	352.8
Work-in-process		146.5			167.3
Finished goods		66.8			73.4
Excess and obsolete adjustment		(15.0	)		(19.9	)
	$	728.5		$	573.6