Direct Operating Costs

There are two categories of direct cost.

The direct cost of the flight, which includes the cost of flight crews, fuel and oil, insurance and airport costs.

The variable cost of material, for instance, maintenance and overall costs, depreciation and amortization, and rental of equipment. These costs constitute approximately half the total cost. Fluctuations will come from changes in the price of fuel which is dependent on the price of oil and the type of airplane and engine used. The latest technologically advanced aircraft are economical in fuel.