•Q: How many flight hours would your plane need to fly, given these expenses and costs, before it would Break-Even?

•Use a rental rate of $100/hour. (assume that Hobbs and Tach hours are the same, for this problem).

•Once we have solved for # of flight hours, we can then calculate how long it will take to get to that point, i.e., how many hours each month, on average, must we fly the plane to B-E or become profitable. But we will do that later.

Below are some costs for a flying club that operates a single Cessna 152.

Fuel per flight hour: $36

Oil per flight hour: $ 2

Maintenance : annual inspection $1,200

100 hours of operation inspections: $800

Tie-down spot: $150 per month

Aircraft monthly purchase or lease payment: $700/mo.

Reserves for new engine: $10/hour

Telephone scheduling & billing services: $150/mo.

Hull and Liability insurance: $350/mo.

Miscel. variable expenses: $100/mo.

Subject | Mathematics |

Due By (Pacific Time) | 09/21/2014 10:00 pm |

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