Author(s): Adel Qatawneh, Atala Alqtish, Nour Hmaidat
This study aimed to determine the impact of applying IFRS No. 16 - lease contracts on the financial statements of Alia - Royal Jordanian Airlines Public Limited Company. The researcher has used the case study approach, where the theoretical literature and previous studies related to the subject of the study were demonstrated and the field study was conducted on Royal Jordanian Airlines. The study revealed the following results for the application of IFRS No. 16- Lease contracts: There was a direct impact on the balance sheet (total assets, total liabilities, solvency) ratio of total debt to total assets, ratio of total long-term debt to equity, ratio Leverage, ratio of total debt to equity, liquidity (current ratio, cash ratio). There is no effect on the quick ratio of liquidity. As for the statement of changes in equity and the income statement, the results showed that there is no effect on the application of the standard on them, and the study showed that there is an effect of applying the standard on the statement of operating cash flows and there is no impact on the financing and investment cash flows and net cash flows.