Single-decker costs mistake

Double trouble
New answer on Oct 09, 2020
3 Answers
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Raouf asked on Oct 08, 2020

There's an error in the calculation of the single-decker costs. We have to mulitply the depreciation per mile and the fuel by 20 and not 10 because a trip/route is 20 miles.

Thus, the payback is 4,8 years and is not that interesting for our client since a 3 year payback is required.

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Robert
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replied on Oct 09, 2020
McKinsey offers w/o final round interviews - 100% risk-free - 10+ years MBB coaching experience - Multiple book author

OK .. so what's your question here in the Q&A forum?

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Clara
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replied on Oct 09, 2020
McKinsey | Awarded professor at Master in Management @ IE | MBA at MIT |+180 students coached | Integrated FIT Guide aut

Hello!

I advise you to writte the author directly, instead of posting here, since this is a Q&A

Cheers,

Clara

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Ian
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replied on Oct 09, 2020
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Hi Raouf,

Good catch! Would be good to reach out to the author of the case to let them know :)

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Robert gave the best answer

Robert

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McKinsey offers w/o final round interviews - 100% risk-free - 10+ years MBB coaching experience - Multiple book author
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