Accounting liabilities sheet

use the Annual Report for their assigned company and answer the questions in the blue cells in the excel template attached below. The blue link on the attached file is the Annual report necessary. 

AA

Group # For AMERICAN AIRLINES GROUP do the following: Obtain the fiscal 2019 annual report at: https://americanairlines.gcs

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web.com/static-files/d46a00e3-db05-4a91-af7a-fbe0fc2a7f08 Amounts

reported below should be IN MILLIONS $

I. FINANCIAL STATEMENT REVIEW Provide the following for the

December 31, 2019

from the Financial Statements (Item 8 of the Annual Report) in the blue box provided.

Answer

s may be found on face of the financial statements or on footnotes.

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How much was Revenues? (from Statement of Operations)

$ million

Passenger revenue Cargo What % of Sales was from International? Other Total $ – 0 How much was Operating Income? (from Statement of Operations) What is the percentage of Operating Income to Revenues ERROR:#DIV/0! –

Detail the Liability balance (from Balance Sheet) Categories

December 31, 2019

December 31, 2018 Accounts payable Accrued salaries and wages Air traffic liability Other accrued liabilities Operating lease liabilities (add current and noncurrent portion) Loyalty program liability (add current and noncurrent portion) Pension and postretirement benefits Long-term debt and finance leases (add current and noncurrent portion) Other liabilities Total Liabilities 60,113 60,749 Total of current and noncurrent liabilities –

How does AA record revenue from “Mileage credits earned through travel”? (Note 1 –> Loyalty Revenue) II. FINANCIAL RATIOS (2019) –

Calculate Debt Ratio Formula

Amounts
Answer
E.g. A – B = C 100 – 70 30.0 –

Calculate Times-Interest-Eearned Ratio

Formula
Amounts
Answer

E.g. A – B = C
100 – 70
30.0

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Calculate Return on Debt (see formula below)

Formula
Amounts
Answer

Net Income average Long-Term Debt * * Use simple average (beg + end / 2) “Long-Term Debt” includes Long-Term Debt & Finance Leases plus Operating Lease Liabilities above III. NON-GAAP FINANCIAL MEASURES (Pgs 45-47, Reconciliation of GAAP to Non-GAAP Financial Measures) –

List the items included in the “Operating special items, net” line for 2019 Year-ended Dec 31, 2019

Total

641 –

Reconciliation of Pre-Tax Income (Loss) Excluding Net Special Items:

Year-ended Dec 31, 2019
Pre-tax income (loss) – GAAP Adjusted for: Pre-tax special items, net Pre-tax income (loss) excluding net special items 2,900 –

Refer to the following article about non-GAAP financial measures: https://www.cov.com/en/news-and-insights/insights/2022/12/updated-sec-guidance-on-non-gaap-measures#:~:text=Non%2DGAAP%20measures%20are%20numerical,principles%20(%E2%80%9CGAAP%E2%80%9D). Under “Update to Question 100.01”, in what way has the staff clarified the treatment of an operating expense that occurs repeatedly or occasionally? Do you think this would apply to any of the special items noted above?

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