Accounting report Assignment Example | Topics and Well Written Essays - 1500 words

Accounting report - Assignment ExampleTherefore, this additional information such as the macro environment effects, business performance in similarity to its competitors, etc. generally guide the investor in making the right choice.The statements provided by Chairman and CEO are more or less same with some(prenominal) them talking about the performance of British Airways during the year in comparison with last year and the difficulties being faced due to scotch downturn, loss of consumer confidence, change magnitude oil prices and other environmental factors. Furthermore, both the heads highlighted the fact that next year is going to be much tougher in terms of performance due to economic conditions prevailing, yet they are confident that the company get out manage to survive and achieve their long term emerging goals of being a premium airline. However, the chief(prenominal) difference among both the statements was the measures highlighted by CEO to survive currently and tack le the future business appropriately with a brief detail about their future development and ways to achieve those (British Airways 2009).The report provided by chief financial officer highlight some of the problems that company is facing and which will be important for investor like Paul. Firstly, the CFO talks about the decline revenue caused by a decrease in passenger traffic especially premium passenger leading to step-down on amount of flying. Furthermore, the report highlights the companys susceptibility towards fluctuating oil prices and showing an increase in operating expenditure due to this. barely the company faced a net unrealized loss on fuel derivatives due to volatile prices. Lastly, company posted a negative EPS which will have an adverse impact on its investors as no dividend was announced (British Airways 2009).The environment in which airline industry operates involves lot of risks and uncertainties which are out of their come across and can have severe impacts on their business. Some of the risks involved in their industry are act of terrorism, any