Explain what constitutes non-aeronautical revenue and provide two examples.

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Multiple Choice

Explain what constitutes non-aeronautical revenue and provide two examples.

Explanation:
Non-aeronautical revenue is income an airport earns from activities that are not tied to operating aircraft. Two common examples are parking facilities and concessions (retail and food service) inside the airport. These revenues come from passengers and visitors rather than from airlines or aircraft operations, helping diversify the airport’s income beyond charges related to flight operations. By contrast, money from landing fees and terminal rents is tied to aircraft use and is considered aeronautical revenue; salaries and utilities are costs, and grants or subsidies are external funding rather than airport-generated revenue.

Non-aeronautical revenue is income an airport earns from activities that are not tied to operating aircraft. Two common examples are parking facilities and concessions (retail and food service) inside the airport. These revenues come from passengers and visitors rather than from airlines or aircraft operations, helping diversify the airport’s income beyond charges related to flight operations. By contrast, money from landing fees and terminal rents is tied to aircraft use and is considered aeronautical revenue; salaries and utilities are costs, and grants or subsidies are external funding rather than airport-generated revenue.

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