2 ms·
Fuel is the biggest cost, but it scales linearly with usage (hence revenue) The second biggest cost is lease, which is significantly smaller the older the plan
by raverbashing 3y ago
Fuel is the biggest cost, but it scales linearly with usage (hence revenue)
The second biggest cost is lease, which is significantly smaller the older the plane is
(also cargo doesn't fly first class)
- hurril 3y agoSure, variable costs matter less with less use. I guess the difference in fuel efficiency is not that great, then. A lower insurance (which is my guess/ opinion!) and a lower lease cost has a greater explanation value.