Question - Using the Annual Report of American Airlines answer the following questions: Note the link to the annual report at the bottom of the question.
- What depreciation method does the company use for reporting in its financial statements? Why do you think they chose this method?
- What was the amount of depreciation and amortization for the year end?
- Compute the asset turnover ratio for the year end.
- How does this ratio compare to the industry ratio? What does this tell you about the company?
- What classifications of debt and/or equity security investments does the company hold?
- How are the company's available-for-sale investments reported? How are the company's trading investments reported?