The freight statistics for Burlington Northern Santa Fe Corp.’s rail operations for three years are provided from public disclosures as follows: Year Ended December 31, XXXXXXXXXXRevenue ton miles...

The freight statistics for Burlington Northern Santa Fe Corp.’s rail operations for three years are provided from public disclosures as follows: Year Ended December 31, 2004 2003 2002 Revenue ton miles (millions) 570,688 508,200 490,234 Freight revenue per thousand revenue ton miles $18.82 $18.27 $18.10 Average haul per ton (miles) 1,045 1,014 992 a. Revenue ton miles is also sometimes termed gross ton miles. What is a revenue ton mile? (Hint: Note that the revenue ton miles are not expressed in dollar terms.) b. How would you interpret the trend in freight revenue per thousand revenue ton miles over the three years indicated? c. Estimate the number of tons moved in 2004. d. Estimate Burlington Northern’s total revenue for 2004.



May 26, 2022
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