Question

Create a P&L budget for a fictional NCAA football team using the data points in attachment.
1.Assume Auxiliary Income is only concession revenue and the team gets 100% of the per caps.
-Assume 1M people attend games this season.
-Assume the university sports program operates at a 10% margin.
-Assume the division 1-A revenue and expense breakdowns are representative of the football program (the percent mix noted on page 115 is percent of revenue and percent of expense where noted as percent of income)

2.What if the team had a bad season and fired all the coaches.
-Assume salaries and benefits doubled and recruiting doubled.
-Assume home gate receipts and cash gifts dropped by 30%
-Create a new forecast for the year.

3.Is the university sports program still profitable, why?
Write up 2 ideas to improve the forecast.

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Fictional NCAA Football Team
P&L Budget
REVENUES USD USD
Home gate receipts $26,927,143
Cash gifts        11,938,571
Radio and television        10,980,000
Postseason compensation          6,187,143
Auxiliary income          6,100,000
Institutional support          6,100,000
Student fees          5,751,429
Away-game guarantees          5,054,286
Other income          4,967,143
Investment income          1,742,857
State aid          1,307,143
**Error margin (0.1%)              87,143
Gross Revenue $87,142,857
EXPENSES
Salaries and benefits        22,665,857
Grants-in-aid        12,940,714
Other expenses          7,215,429
Operations and maintenance          5,097,857
Team travel          5,019,429
Opponents' payments          4,784,143 ...

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