Use the Air France FINANCIAL STATEMENTS from 2015

Part A: Financial Statements, Income Measurement and Current Assets

1. What amount did AF report for the following items for the fiscal year ended December 31, 2015?

a. Total Revenues

b. Income from current operations

c. Net Income or Net Loss

d. Total Assets

e. Total Equity

Part B: Property. Plant and Equipment and Intangibles Assets

2. Describe the approach AF uses to determine fixed impairment losses. (Hint see Note 4.14) How does this approach differ from US GAAP?

Part C: Investments

3. Read Notes 24 and 36.4. Focusing on investments accounted for at fair value through profit and loss (FVTPL):

a. As of December 31, 2015, what is the total balance of those investments balance sheet?

b. How much of that balance is classified as current and how much as noncurrent?

c. How much of the fair value of those investments is accounted for using level 1, level 2 and level 3 inputs of the fair value hierarchy? Given that information asses the reliability (representational faithfulness) of this fair value estimate.

Part D: Liabilities

4. Is the threshold for recognizing a provision under IFRS different than it is under US GAAP? Explain.

Part E: Shareholder’s Equity and Additional Financial Reporting Issues

5. AF lists for items in the shareholders’ equity section of its Balance Sheet. If AF used US GAAP, what would be the likely account titles for the first and fourth of those components?

Answer rating: 100% (QA)

Part A Quiz 1 a Total Revenues 32209 million b Income from current operations 3104 million c Net Income loss 1602 million d Total Assets 62871 million ... View the full answer