Air France–KLM (AF), a Franco-Dutch company, prepares its financial statements according to International Financial Reporting Standards. AF’s financial statements and disclosure notes for the year ended December 31, 2017, are available in Connect. This material is also available under the Finance link at the company’s website (www.airfranceklm.com). 

Required: 

1. Locate Note 28.5 in AF’s financial statements. What items comprise “Reserves and retained earnings” as reported in the balance sheet? 

2. In its presentation of the components of the balance sheet, which is listed first, current assets or non-current assets? Does this approach differ from U.S. GAAP? 

3. In its presentation of the components of the balance sheet, which is listed first, current liabilities or noncurrent liabilities? Does this approach differ from U.S. GAAP? 

4. In its presentation of the components of the balance sheet, which is listed first, liabilities or shareholders’ equity? Does this approach differ from U.S. GAAP?