Quiz: Economic Fundamentals
• Due Feb 19 at 11:59pm
The quiz:
• Covers the Learn material from Module 1: Week 1 — Module 5: Week 5.
• Contains 10 multiple-choice and true/false questions.
• Is limited to 30 minutes.
• Allows 1 attempt.
• Is worth 40 points.
You may refer to your notes and textbooks at any time during the assessment.
Submit this assignment by 11:59 p.m. (ET) on Monday of Module 5: Week 5.
Attempt History
Attempt
Time
Score
LATEST
Attempt 1
17 minutes
20 out of 40
Correct answers are hidden.
Score for this quiz: 20 out of 40
Submitted Feb 24 at 1:02pm
This attempt took 17 minutes.
Incorrect Question 1
0 / 4 pts
What component of Aircraft Operating Cost is the costliest?
Crew cost
Maintenance Incorrect Answer How I do not know??
Fuel /oil
Ownership
Incorrect Question 2
0 / 4 pts
Salaries, material purchased, landing fees, and depreciation are all examples of what cost
category?
Operational Incorrect Answer
Administrative
Amortization
Functional
Question 3
4 / 4 pts
Where do US airlines report operating cost data?
US DOT Form 89 database
Quarterly operating expense report
US DOT Form 41 database
Shareholders quarterly reports
Question 4
4 / 4 pts
An airline is considered an oligopoly industry.
True
False
Question 5
4 / 4 pts
What are the three main functional cost categories?
aircraft operating costs, ground operating costs, and system operating costs
flying operating costs, maintenance operating costs, and services purchased
depreciation, amortization, flying operations
salaries, materials purchased, services purchased
Incorrect Question 6
0 / 4 pts
Block hours include ground times in addition to flight times.
True I got this wrong by marking False, but the answer is indeed True.
False
Question 7
4 / 4 pts
What is the situation called when there are only a few airlines in a certain market?
Economy of scale
Growth through merger
Mutual dependence
Price rigidity
Incorrect Question 8
0 / 4 pts
Why do low-cost carriers typically have lower maintenance block hour costs than legacy airlines?
Fewer aircraft
point-to-point routes Incorrect Answer
fleet diversity
younger fleet
Incorrect Question 9
0 / 4 pts
What is the calculation for Available Seat Miles (ASMs)?
(number of passengers) x (average stage length) x (number of seats) Incorrect Answer
(number of departures) x (average stage length) x (number of seats)
(number of departures) x (fuel cost) x (number of seats)
(number of departures) x (average stage length) x (number of passenger)
Question 10
4 / 4 pts
ICAO requires its member states to submit annual operating cost data for their airlines in a
standardized form.
True
False
