Which cost element of the u.s. scheduled airlines accounts for the largest portion of operating costs?

1 answer:

4 0

The primary cost component for American scheduled airlines is fuel, which accounts for the majority of operational expenses.

<h3>What are fixed and variable costs for an airline?</h3>

In contrast to variable costs, which change over time, fixed expenses remain the same. Variable costs, which include things like fuel, oil, maintenance, landing fees, etc., on the other hand, are subject to change. The fixed costs do not change regardless of how much time you spend flying your aircraft.

<h3>What are aircraft direct operating costs?</h3>

The term "direct operating cost" (DOC) refers to expenses that are directly connected to running a flight, such as flight attendant pay, aircraft fuel and oil, lease rental or depreciation, maintenance costs, insurance premiums, ground handling, navigational fees, landing and parking fees, and in-flight catering services.

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