Deck 11: Feasibility Studies

Question 1

Without the benefit of having a feasibility study, the public in which city was asked to vote to spend $143 million of public money to build the Sprint Center without a major tenant?

A) St. Louis
B) Milwaukee
C) Des Moines
D) Kansas City
E) Topeka

Answer 1

D

Question 2

Of the following, which is a main part of a feasibility study?

A) Market demand
B) Economic and fiscal impact
C) Financing
D) Location, construction costs, and engineering
E) All of the above

Answer 2

E

Question 3

As part of a feasibility study, __________ directly investigates actual facilities that might compete with a subject facility in order to host events.

A) A financing analysis
B) A comparables analysis
C) A competitive analysis
D) Primary research
E) None of the above

Answer 3

C

Question 4

When determining market demand for a facility, one must examine which of the following?

A) Individual ticket demand
B) Corporate demand
C) Event activity
D) Facility specifications and operating estimated
E) All of the above

Question 5

Which section of the feasibility study drives much of the rest of the study?

A) Market demand
B) Economic and fiscal impact
C) Financing
D) Location, construction costs, and engineering
E) All of the above

Question 6

Which section of the feasibility study determines the luxury seating capacity of a market?

A) Individual ticket demand
B) Corporate demand
C) Event activity
D) Facility specifications
E) All of the above

Question 7

Factors examined in which part of the feasibility study include population, age, income, and competing sports franchises?

A) Individual ticket demand
B) Corporate demand
C) Event activity
D) Facility specifications and operating estimates
E) All of the above

Question 8

In which section of the feasibility study are the needs of attendees and event property owners calculated?

A) Individual ticket demand
B) Corporate demand
C) Event activity
D) Facility specifications and operating estimates
E) All of the above

Question 9

In which section of the feasibility study does one determine if there is sufficient revenue to pay for facility financing costs?

A) Individual ticket demand
B) Corporate demand
C) Event activity
D) Facility specifications and operating estimates
E) All of the above

Question 10

If facilities are successful in various similar cities, then a facility will be successful in the subject city. Where does this notion comes from?

A) A financing analysis
B) A comparables analysis
C) A competitive analysis
D) Primary research
E) None of the above

Question 11

For a recreation facility such as a water park, which of the following factors is not likely to be part of the feasibility analysis?

A) Age of local population
B) Income of local population
C) Size of local population
D) Price of admission
E) Number of corporations of a certain size in the area

Question 12

Feasibility studies in sport can be used to determine whether a city should bid to host a major sporting event.

Question 13

Feasibility studies are often broken into three phases.

Question 14

The findings of one section of a feasibility study will affect or be affected by the findings of the other sections.

Question 15

Primary research typically involves the analysis of data that have already been generated for other purposes but might provide information for the question at hand.

Question 16

Comparables analysis is a type of primary research.

Question 17

The age of the population is another factor to consider when analyzing ticket demand in comparable markets.

Question 18

In the NBA, more than 50% of season ticket holders are corporations.

Question 19

Naming rights are the largest single sponsorship revenue source for a sport facility.

Question 20

Facility revenues are typically kept by the facility owner.

Question 21

Feasibility studies require the application of many finance tools.

Question 22

Sport facilities compete against one another for corporate dollars.