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Leasing cost reduction

Chinese Chess - Airline Business During COVID-19
New answer on Sep 17, 2021
1 Answer
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Andrea asked on Sep 17, 2021

Thanks for the case! It was fun and offered great insight! 

I have a question on the sentence:

  • (Long Term) Leasing costs can be cut through the purchase of planes through capital received by government – new monthly costs (which include amortization) is 75% of current rate

If the new monthly cost is 75% percent, shouldn't the percent cost reduction then be 25%? 

Am I missing something? 

Thanks!

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Best answer
Ian
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Content Creator
replied on Sep 17, 2021
#1 BCG coach | MBB | Tier 2 | Digital, Tech, Platinion | 100% personal success rate (8/8) | 95% candidate success rate

Hi Andrea,

That's a great catch! The wording I used does not match the exhibit. 

Thanks for the catch…I'll update ASAP :)

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Ian

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