EX 9-1 Classifications of receivables

Boeing is one of the world’s major aerospace firms, with operations involving commercial
aircraft, military aircraft, missiles, satellite systems, and information and battle management
systems. As of December 31, 2009, Boeing had $3,090 million of receivables involving
U.S. government contracts and $1,206 million of receivables involving commercial aircraft
customers, such as Delta Air Lines and United Airlines.

Should Boeing report these receivables separately in the financial statements, or
combine them into one overall accounts receivable amount? Explain

Answer:
Accounts receivable from the U.S. government are significantly different from  receivables from commercial aircraft carriers such as Delta and United. Thus, Boeing should report each type of receivable separately. In the December 31, 2009, filing with the Securities and Exchange Commission, Boeing reports the receivables together on the balance sheet, but discloses each receivable separately in a note to the financial statements.

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