Not trying protect AAA here. Other institutes might be operating differently. Totally agree that aaa should change their operation should there be a better way of doing it.
However, there is NO way to assess true abilities of a cadet beforehand. One can do several assessments to reduce the failure rates later but there is no foolproof method! Pilot training is about focus, hard work, aptitude and attitude. Loss of any of these attributes will affect training, even if one did well in the assessments. So I beg to differ on that point of yours.
Moreover, ALL schools are there to make money! Sad but true! AAA no exception.