BA/Ryanair Accounting
As an ex accountant I think this is a non story. I think both methods are ok. Look at it this way. If you have a 4 year old car and have it serviced and MOT'd tomorrow..is it worth more than it is today? Of course it is. This article also neglets to say if BA are increasing the capital valuation of its aircraft after each overhaul. It simply says that costs are charged to P&L. Actually the more I think about this the more shifty this story gets. What I believe the author is doing is telling the P&L story of BA and the Balance sheet story of Ryanair. They, of course are interlinked.