To develop the project, you will select the financial statements of a company using the EDGAR database (http://www.sec.gov/edgar.shtml). You will use the FASB coding system to research proposed accounting standards for the current year or for the previous year (liabilities and capital - only those referring to transactions). Then you will create financial accounting information, through Excel, where the proposed standards are applied, FASB, in the American Airline company. Using the American Airline 10K Report, answer questions 1 through 3. Question 4 provides the document you need to review. 1- Look in the 10 K for the leases note and summarize in your own words the impact that the leases had on the company's Balance Sheet. Avoid merely copying and translating the note. Your explanation must show that you understand what you read and can explain it. Synthesize and not merely copy and paste.

2- Look in the 10K for the Income Taxes note and summarize in your own words the impact that the deferred tax accounts had on the company's Balance Sheet. Avoid merely copying and translating the note. Your explanation must show that you understand what you read and can explain it. Synthesize and not merely copy and paste.

3- Information on the Balance Sheet possibly mixes lease debt with other long-term debt. This makes analysis difficult. Using the information provided in the lease note, prepare a vertical and horizontal analysis of the debt (liability) per lease. For vertical analysis you need the total assets of the company reported on the balance sheet. Comment on the results.

4- Using the information provided in the income tax note, prepare a vertical and horizontal analysis of the balances of (1) Total deferred tax assets, (2) Total deferred tax liabilities, and (3) Net deferred tax liability or Net Total deferred tax Asset. For vertical analysis you need the total assets of the company reported on the balance sheet. Comment on the results. Review the document at the end of this instruction (everyone uses the same document for this question) where American Airlines Group Inc's pension note data is presented. Summarize in your own words what amounts and accounts American is required to disclose in the (1) Balance Sheet and the (2) Income Statement related to your Pension Plan (Pension benefits). Avoid merely copying and translating the note. Your explanation must show that you understand what you read and can explain it. Synthesize and not merely copy and paste.