Answer

Aircraft Feasibility Study

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     Rarely does a company jump into the commitments of a large scale corporate flight department. Costs associated with equipment, operations, and personnel can be breathtaking to the unaccustomed financial controller. Most flight departments grow over a period of time, and many have rich histories that help to justify aircraft upgrades and growth.

     This file goes slightly against this conventional wisdom. Within the City-Pair Analysis worksheet tab, a ficticious stone and aggregate copany is comparing their airline demand to an on-demand model of transportation. The data contained in the large data table on this worksheet represents the level of travel of one “key traveler,” the Chief Operations Officer (COO). The total level of travel for the company is purposely augmented to help with the outcomes of this assignment. In reality, this ficticious company would probably already have an aircraft or be leaning heavily on some other method of on-demand transportation.

     The blue worksheet tabs below represent worksheets that will be used on course assignments and have input fields. Other tabs contain key course related materials and will also be used for course assignments. You should plan to follow specific assignment instructions that will refer to and guide you through this Excel file with these multiple worksheets. Below is a quick summary of each tab so you may begin to familiarize yourself with content and layout.

City-Pair Analysis Tab:

     Read the instructions at the top of the worksheet. The yellow dropdown / input cell is where you would click to select a specific airframe. The output cells will automatically populate. Notice how different aircraft can influence Aircraft Hours.

Aircraft Data Tab:

     This is the database for the Excel file. Feel free to scroll and compare airframes here; especially when you want to compare a specific data set across the entire database. New aircraft are listed in the top-half of the database with a “n” preceeding the name. Used aircraft are listed in the bottom half, with the year of manufacture preceeding the name.

RV Analysis Tab:

     This tab provides an output which compares the Value Factor to Purchase Price. This analysis is only done with new aircraft. Value Factor is calculated as follows:

(Maximum Speed  x  Maximum Range  x  Maximum Cabin Volume) / 10,000  =  Value Factor

Value Factor is on the vertical axis and purchase price is on the horizonal axis. The main objective of this type of analysis is to help generate questions about the market, value, and resale.

Quick Compare Tab:

     This tab allows you to select up to six airframes from the database and perform a horizontal analysis on twenty-nine variables that include different specifications and performance parameters.

Product Timeline Tab:

     This worksheet provides a general idea of turboprop and turbojet aircraft available to a potential buyer. The chart depicts product lines from a variety of manufacturers as well as their respective production years.

Selection Matrix Tab:

     This worksheet allows you to select five different airframes and score them within a subjective matrix. Matrix categories and subcategory values are derived from key traveler interviews. Select your airframe(s) at the top using the dropdown lists.

1. Values in the yellow cells indicate the weight of importance. Scale of 1 to 4 (4=most important)
2. Airframe totals are automattically calculated by this formula:

Weight Factor  x  Item Score (I.S.)  =  Factor Value (F.V.)

Cost of Operation Tab:

     This worksheet helps with the calculation of and the depiction of the cost of operation. More instructions will follow, but you will be able to select an airframe and immediately see its cost of operation compared to multiple airframes and multiple on-demand methods.

Amortization & You Pick Tabs:

     Both of these worksheets are amortization tables. Amortization is linked to the aircraft database and the You Pick is not. Use the You Pick worksheet to enter anything you want to see an payment schedule for. An amortization schedule is already built into the Cost of Operation worksheet.

Amortization & You Pick Tabs:

     Both of these worksheets are amortization tables. Amortization is linked to the aircraft database and the You Pick is not. Use the You Pick worksheet to enter anything you want to see an payment schedule for. An amortization schedule is already built into the Cost of Operation worksheet.