Module 2

Question 1

individual level

Answer 1

athletes face same financial decisions as other workers

Question 2

firm level

Answer 2

sports franchises face many of the same financial decisions as other businesses

Question 3

revenues

Answer 3

money coming into business

ticket sales, broadcasting contracts, sponsorships, concessions, parking, licensing and merchandising sales

Question 4

expenses

Answer 4

costs incurred during operation of sport business (money coming out)
payroll, transportation/lodging/food, equipment, overhead, mortgage/debt, capital purchases, advertising and marketing

Question 5

sport uniqueness

Answer 5

tax loopholes and roster depreciation
sponsorship in sport
ancillary values to sport ownership

Question 6

growth of sports

Answer 6

revenues have grown astronomically over past 30 yrs years

media has played large rule

Question 7

1994 MLB worth

Answer 7

$2 bill

Question 8

2013 MLB

Answer 8

26 of 30 teams estimated to be worth at least $500 mill each

Question 9

comparing NFL to NHL

Answer 9

revenue distribution in NHL - winning and playoff appearances more importance

Question 10

national v. local broadcasting

Answer 10

nfl only national