Access the annual report for British Airways pic for the year ended December 31, 2011, from the company 's website Use the notes to the financial statements to answer the following questions Instructions (a) Does British Airways pic report any intangible assets in its 2011 financial statements and ...

a British Airways reports goodwill landing rights emission allowances and software as intangible assets The reported amounts in the notes were all amounts in millions of British Pounds from Note15 Cos ...

Access the annual report for British Airways pic for the year ended December 31, 2011, from the

Question:

Access the annual report for British Airways pic for the year ended December 31, 2011, from the
company's website. Use the notes to the to answer the following questions.
Instructions
(a) Does British Airways pic report any in its 2011 and
accompanying notes? Identify all intangibles, describe their nature, their reported at December 31, 2011, and the accounting policies that are applied to these assets. Be
sure to discuss any changes in these policies and how they were reported and the impact on the
2011 statements. Finally, discuss any discrepancies with IFRS standards.
(b) What additions were made to the landing digits for 2011? How are the identifiable intangible
assets tested for impairment?
(c) How is tested for impairment? Provide details on the methods and key assumptions
used by the company. What was the recoverable amount determined? Do these appear reasonable? Were there any impairment losses recorded in 2011? What assumptions would make the recoverable amount equal to the carrying amount for the network airline operations?
(d) Why is the information provided in (c) considered helpful to users?
Goodwill
Goodwill is an important concept and terminology in accounting which means good reputation. The word goodwill is used at various places in accounting but it is recognized only at the time of a business combination. There are generally two types of... Intangible Assets
An intangible asset is a resource controlled by an entity without physical substance. Unlike other assets, an intangible asset has no physical existence and you cannot touch it.Types of Intangible Assets and ExamplesSome examples are patented... Financial Statements
Financial statements are the standardized formats to present the financial information related to a business or an organization for its users. Financial statements contain the historical information as well as current period’s financial... Balance Sheet
Balance sheet is a statement of the financial position of a business that list all the assets, liabilities, and owner’s equity and shareholder’s equity at a particular point of time. A balance sheet is also called as a “statement of financial...