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The current default aircraft type is listed below this button. Setting an aircraft type as default will cause it to be preselected as the type when creating a new tail number from the .Leg View v7.Next.
Aircraft types can be archived to hide them from the list of aircraft types in order to declutter the list if they are no longer used if desired. This does not remove them from any entries, it just hides them. Archived items can be viewed by going to Settings/General and turning on "Show Archived Data".
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