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Analysis On The Impact Of The Application To IFRS16 By China Southern Airlines

Posted on:2018-03-25Degree:MasterType:Thesis
Country:ChinaCandidate:H Y YuFull Text:PDF
GTID:2359330512982086Subject:Accounting
Abstract/Summary:PDF Full Text Request
Leasing has become an important means for China's aviation enterprises to seek to expand the scale of assets.Nearly two-thirds of aircraft and engine assets are introduced through financial leasing or operating leasing.The leasing rules in the PRC Accounting Standards for Business Enterprises are substantially the same as those of the International Leasing Accounting Standards IAS 17.In accordance with the transfer of all risks and rewards related to the ownership of the assets,the leases are classified as finance leases and operating leases,taking a completely different accounting method,The financial situation of the enterprise is not the same.After the global financial crisis,the company on the operating lease to cover up the essence of financial leasing,hidden liabilities,reduce the debt ratio of constant criticism.In order to solve this problem,the International Accounting Standards Board(hereinafter referred to as "IASB")and the US Financial Accounting Standards Board(hereinafter referred to as,"FASB",)have jointly revised the existing leasing accounting standards.Since 2006,after the simplification of the 2013 revision,the latest international leasing accounting standards--IFRS 16,was finally released.The biggest change of IFRS 16 is the "two-in-one lease type",for the lessee's exemption in addition to the rental behavior,accounting no longer distinguish between operating leases and financial leases,but are recognized the right to leased property and leasing liabilities,the original recognized as operating leasing Of the contract will also be included in the table,with the previous financial leasing almost the same financial impact.In this paper,taking China Southern Airlines as an example,because of the largest number of leased aircraft in China and the highest proportion,we need analysis the he problems and the appropriate measures,when China Southern Airlines applies IFRS 16.After in-depth study,this paper has the following findings:(1)After the application of IFRS 16,the main financial indicators of China Southern Airlines have deteriorated,including the increase of asset-liability ratio,the decrease of asset turnover rate and the decrease of interest guarantee ratio.(2)Due to the change of rental criteria,(3)In order to reduce the combined cost of aircraft introduction and the impact of IFRS 16,China Southern Airlines needs to adjust the lease contract and innovation.In order to reduce the introduction of aircraft and the impact of IFRS 16,China Southern Airlines needs to adjust the lease contract and innovation.Leasing business model,more use of innovative domestic bonded finance leasing mode,make full use of the bonded area of tax incentives and a variety of SPV model.The main innovation of this paper is as follows:(1)Combing the reason,course,result and analysis of the change of leasing accounting standards;(2)Using case analysis method,using a lot of data analysis IFRS 16 applicable financial impact(3)Analyze the influence of IFRS 16 on the introduction of aircraft mode and risk management in China Southern Airlines.
Keywords/Search Tags:Financial leases, Operating leases, Right to leased property, Lease Accounting Standards, IFRS 16
PDF Full Text Request
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