Yeah Im sure that that figure is on the low side. But think about this. We flew over 65,000 hours at the academy last year. Lets say the average cost of a dual flight is $200/hr. Again this is not taking into account the higher price of the seminoles, arrows, 172's. Just for this purpose that all the hours flown were in cadets. 65,000 x 200 = $13,000,000. Management told us it takes $1 mill to operate that place per month and pay all the salaries etc. So 12 months - $13 million dollars = $1 million dollars profit.
Again this is the low side of the figure. The added income from the more pricey planes would bring this number up. I dont care how big your company is, a $1 million dollar profit is pretty nice. But I'm sure that number is bigger in real life anyway. And I'm sure that the numbers of the cost of things were inflated when presented to the employees to make it seem like they were just scratching by and couldnt afford raises, and the cost numbers were probably shrunk when presented to corporate so that it looks better to them and has a nice effect on the bonus checks for the top of the Academy.