Air France-KLM (AF), a Franco-Dutch company, prepares its financial statements according to International Financial Reporting Standards. AF's financial statements and disclosure notes for the year ended December 31, 2015, are available in Connect. This material also is available under the Finance link at the company's website (www.airfranceklm-finance.com).
Required:
1. Refer to AF's disclosure notes, in particular Note 2: Restatement of Accounts 2014. For the three changes in accounting principle reported in the note, does AF account for the changes prospectively or retrospectively? Is this the same approach AF would follow if using U.S. GAAP?
2. For the change described in 2.1, which if any account balances required adjustment?