Fiscal Aspects of Aviation Management Book

	Preface	ix
1.	Financial Management and Accounting Procedures	1
	The Need for Accounting Information in Business	4
	Types of Accountants	8
	The Accounting Equation	12
	Some Simple Examples	18
	The Accounting Cycle	22
	Suggested Readings and References	24
2.	Financial Management and Sources of Financial Information	25
	Overview of Financial Management	25
	Types of Business Organizations	30
	Corporate Goals	37
	Business Ethics	39
	Agency Relationships	41
	Maximizing Share Price	46
	Business Activity and Organization	48
	Sources of Financial Information	54
	Suggested Readings and References	57
3.	General Business Cycles	59
	The Nature and Significance of Economic Fluctuations	59
	The Federal Reserve and the Money Supply	66
	Summary of General Business and Economic Cycles	69
	Oligopolistic Characteristics of the Air Transport Sector	69
	Cyclical Variations in the Air Transport Sector	74
	Forecasting the Business Cycle	76
	Other Measures of Economic Health	82
	Suggested Readings and References	86
4.	The Equity Markets	88
	Common Stock	89
	How and Why New Issues of Stock Are Sold	94
	Preferred Stock	98
	Mutual Funds	104
	Review	105
	Suggested Readings and References	114
5.	Debt Markets	115
	Bonds	115
	Reading and Interpreting the Wall Street Journal	122
	Banks	124
	Long-Term Loans	126
	Short-Term Loans	127
	The Cost of Bank Loans	129
	Leasing	130
	Methods and Requirements for Raising Business Capital	134
	Summary	144
	Suggested Readings and References	145
6.	Financial Statements	146
	Annual Report Layout	146
	The Balance Sheet	147
	Asset Sheet	148
	Liabilities	152
	Capital Stock (Owner's Equity)	155
	Reading the Balance Sheet	155
	Balance Sheet Ratio Analysis	160
	Capitalization Ratios	163
	The Income Statement	163
	Reading the Income Statement	166
	Analyzing the Income Statement	167
	Statement of Consolidated Cash Flows	172
	Reading a Statement of Cash Flow	174
	Footnotes and Auditors' Reports	176
	Suggested Readings and References	182
7.	Air Transport Sector Revenue Generation	183
	Regulated Revenue Generation (1938-1978)	183
	Deregulated Revenue Generation (1978-1988)	184
	Global Revenue Generation (1988-Present)	189
	Suggested Readings and References	200
8.	Air Transport Operating Cost Management	202
	Cost Management (1938-1978)	202
	Labor Costs	205
	Commissions	208
	Fuel	212
	Landing Fees and Rentals	216
	Suggested Readings and References	219
9.	Air Transport Yield Management Systems	220
	Yield Management Definition	220
	Yield Management Factors	221
	Suggested Readings and References	231
10.	Airport Financing	233
	Airport Revenues	233
	Airport Ownership	237
	Airport Usage Categories and the Scope of Airport Finance	241
	Financing Airport Operations	242
	Revenue Generation	243
	Airport Funding	245
	Allocation of AIP Funds	251
	Passenger Facility Charges	252
	Bonds	255
	Airport Privatization	260
	Conclusions	262
	Suggested Readings and References	263
11.	Preparation of a Business Plan	265
	Starting and Running a Business	265
	Typical Business Plan Outline	267
	Business Plan Outline II	268
	Suggested Readings and References	280
	Glossary	285
	Index	309