Posted in An income statement for Delta Air Lines, Inc., for a recent fiscal year is provided below:
|
Delta Air Lines, Inc. |
|
|
(In millions, except per share data) |
|
|
OPERATING REVENUES: |
|
|
Passenger |
$12,964 |
|
Cargo |
506 |
|
Other, net |
409 |
|
Total operating revenues |
13,879 |
|
OPERATING EXPENSES: |
|
|
Salaries and related costs |
6,124 |
|
Aircraft fuel1,817 |
1,817 |
|
Depreciation and amortization |
1,283 |
|
Passenger commissions |
540 |
|
Contracted services |
1,016 |
|
Landing fees and other rents |
780 |
|
Aircraft rent |
737 |
|
Aircraft maintenance materials and outside repairs |
801 |
|
Passenger service |
466 |
|
Other |
1,917 |
|
Total operating expenses |
15,481 |
|
OPERATING INCOME (LOSS) |
1,602 |
|
OTHER INCOME (EXPENSE): |
|
|
Interest expense, net |
410 |
|
Other income |
148 |
|
LOSS BEFORE INCOME TAXES |
1,864 |
|
INCOME TAX BENEFIT |
648 |
|
NET LOSS |
($1,216) |
|
BASIC EARNINGS (LOSS) PER SHARE |
($9.99) |
|
DILUTED EARNINGS (LOSS) PER SHARE |
($9.99) |
Note: Modifications have been made to the statement to simplify the presentation. Use this income statement to answer the following questions:
a. What was Delta”s primary source of revenue?
b. What percentage of Delta”s revenue came from this source?
c. What were its largest expenses?
d. How much revenue did Delta earn from transporting passengers?
e. How much revenue did it earn from operating activities other than transporting passengers?
f. How much revenue did it earn from nonoperating activities?
g. How much operating income did Delta earn (or lose)?
h. How much expense did it incur for nonoperating activities?
i. Approximately how many shares of stock did Delta have outstanding during the year?
j. How much profit or loss did Delta report during the fiscal year?
