Financial strategy of Transport

Over the long term, investing in airlines can be _________

• profitable

• risky

• dangerous

• unprofitable

What had a larger impact to airlines profitability than the 9/11 tragedy?

• The pandemic

• The recession of 2008

• US 2019 Elections

• Terrorism

Below are some of the potential external risks airlines face that could impact its profitability EXCEPT:

• higher jet fuel costs

• economic recession

• sudden increase in labor costs

• mergers and consolidations

Recent demand shocks that airlines faced were as follows EXCEPT:

• 9/11 tragedy

• SARS outbreak

• Economic recession

• Thanksgiving 2018

Soon after 9/11, the US Congress agreed to bailout the airlines to the tune of USD_______

• 10 billion

• 30 billion

• 50 billion

• 100 billion

Pandemic restrictions result in a(n) _______ in travel worldwide.

• decrease

• increase

• upsurge

• uptrend

What policy was created to prevent airlines from laying off its workers?

• Payroll incentive program

• Payroll support program

• Payroll system program

• Private incentive program

Pilots will have to undergo ________ after weeks of inactivity/vacation.

• medical

• retraining

• rehiring

• rehabilitation

Airlines should do this more:

• spend cash on stock buybacks and paying dividends

• allocate more funds for rainy days and raising wages

• invest in new aircraft

• pay higher bonuses to top executives

There are two categories of airlines according to industry analyzers:

• full service carriers and low-cost carriers

• independent and dependent carriers

• public and private carriers

• low cost and high cost carriers