transport-revenue when it completes the performance of a service to passengers. For the contract of service provision, revenues are recognized according to the progress standards. A progress ratio is calculated by the percentage of real-accumulated-accrual costs to the total expected costs.
2. Allowance for Doubtful Debts
KAL sets up the allowance for bad debts to its receivables by estimatin
transportation services, the Group is a cargo carrier that operates freighters worldwide. It is also engaged in the operation of hotels and provision of limousine services.
B. Performance of Korea Airlines
For analyzing Korean Air's operating performance of 2008, income statement from year 2006 to 2008 were compared.
Prior to analyzing the company's sales revenue, world airline industry
performed.
Beneficiary means the party in whose favour a credit is issued.
Complying presentation means a presentation that is in accordance with the terms and conditions of the credit, the applicable provisions of these rules and international standard banking practice.
Confirmation means a definite undertaking of the confirming bank, in addition to that of the issuing bank, to honour o
performance.
(The amount of cash flows from operating of Korean Airlines in 2009 is 489,868,592,842, and the amount for 2008 was -118,364,859,292.)
-> KAL managed to generate more cash in 2009. However, considering the fact that most of its cash inflow consists of amortization of intangible assets which make company’s cash flow better, Korean Airlines needs to do better in the futu