Which element is part of the Financial Feasibility Plan?

The Financial Feasibility Plan is a crucial component in evaluating the viability of a project, particularly in the context of airports and other large-scale infrastructure developments. The plan assesses whether a project can be financially successful and sustainable over time.

Projected operating revenues and expenses are essential to this analysis because they provide a forward-looking view of the expected financial performance of the project. This includes estimating how much income the project will generate once it is operational, as well as the costs required to run and maintain it. Understanding these projections is vital for stakeholders to make informed decisions about investment, funding, and overall project viability.

Including projected revenues and expenses allows for a comprehensive evaluation of whether the anticipated benefits outweigh the costs, which is the essence of financial feasibility. This insight helps in securing financing and guiding project management.

Other elements, like analyzing historical project costs, impact on airport traffic volumes, and assessment of passenger satisfaction, are important in their own right but do not directly address the financial aspects essential for determining the feasibility of a project in terms of its potential profitability and operational sustainability.