Leases custom essay

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You are required to download the annual report of Qantas group (QAN) for the financial year ended 30 June 2011. Let?s assume you are the Chief Financial Officer of Qantas group and have been following the proposed change in the leasing accounting standard (AASB ED 202R), in particular to eliminate the distinction between operating leases and finance leases. You are concerned about the possible financial implications for the proposed change on the company?s financial statements.

Required:
Present a brief critical review of discussion in relation to the anticipated implications of the proposed change in ED 202R to the financial statements of Qantas group if such change does occur. Comment on whether such proposed change complies with the recommendations by the IASB (International Accounting Standards Board).

Guidance:
– Download annual reports: Go to Library; click databases; type DatAnalysis; type QAN; and click annual reports
– Download AASB ED 202R: Go to www.aasb.gov.au; go to Quick Links; click search for a specific document; Select one option from Pronouncements, Work in progress or Supporting information Pronouncements (e.g. tick exposure draft) and type ED 202R in the space provided at the bottom of the page.

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