How to finance a football stadium
  • 1. What is a common source of public funding for stadiums?
A) Personal savings
B) Sales tax
C) Yard sales
D) Raffle winnings
  • 2. Which of these is a potential private funding source?
A) Government grants only
B) Public bake sale
C) Asking strangers for money
D) Naming rights
  • 3. What does 'PSL' stand for in stadium financing?
A) Personal Seat License
B) Private Sports League
C) Professional Soccer Location
D) Public Stadium Loan
  • 4. Why are revenue bonds often used for stadium projects?
A) Paid with personal income taxes
B) Covered by foreign aid
C) Paid with the team owner's personal money
D) Repaid with stadium revenue
  • 5. What is a potential drawback of public financing?
A) Taxpayer burden
B) Lower ticket prices
C) Immediate profit for taxpayers
D) Guaranteed team success
  • 6. What is meant by 'economic impact' studies in this context?
A) Team's win-loss record
B) Uniform design
C) Projected financial benefits
D) Rainfall probability
  • 7. What is an advantage of private financing?
A) Instant public approval
B) No interest to pay
C) Reduces taxpayer risk
D) Always guaranteed success
  • 8. What type of bond is secured by the stadium itself?
A) General obligation bond
B) Mortgage bond
C) Revenue bond
D) Zero-coupon bond
  • 9. What is a TIF district?
A) Television Income Fund
B) Team Improvement Facility
C) Tax Increment Financing district
D) Ticket Increase Fund
  • 10. Who typically benefits directly from stadium luxury suites?
A) General public
B) Other football teams
C) Stadium employees
D) Team owners
  • 11. Which is a possible impact of a new stadium on surrounding areas?
A) Reduced traffic
B) Decreased rent prices
C) Lower crime rate
D) Increased property values
  • 12. What is one way to mitigate the financial risks of building a stadium?
A) Unlimited budget
B) Phased construction
C) Building it in secret
D) Ignoring cost overruns
  • 13. What is a potential challenge when seeking corporate sponsorships?
A) Economic downturns
B) No need for marketing
C) Guaranteed sponsorships
D) Unlimited sponsor interest
  • 14. What is a potential use of stadium revenue beyond debt repayment?
A) Personal yachts for owners
B) Feeding stray cats
C) Team operations
D) Unrelated government projects
  • 15. What is a characteristic of a well-structured financial plan?
A) Ignoring potential risks
B) Overly optimistic estimates
C) Hiding financial information
D) Realistic projections
  • 16. What is a risk associated with relying on future ticket sales?
A) Constant fan enthusiasm
B) Guaranteed sell-outs
C) Team performance
D) Predictable game outcomes
  • 17. What is a potential benefit of a multi-purpose stadium?
A) Higher maintenance costs
B) Diverse revenue streams
C) Limited event options
D) Unused facilities most of the year
  • 18. What is an example of a sin tax?
A) Tax on alcohol
B) Tax on education
C) Tax on vegetables
D) Tax on books
  • 19. What does the term 'opportunity cost' refer to?
A) Alternative uses of funds
B) The cost of being optimistic
C) Unplanned expenses
D) Free opportunities
  • 20. What is the role of an underwriter in bond financing?
A) Designs the stadium
B) Helps sell the bonds
C) Plays on the team
D) Guarantees ticket sales
  • 21. What is a feasibility study?
A) Legal document
B) Random guess
C) Marketing brochure
D) Assesses project viability
  • 22. What can cost overruns lead to?
A) Guaranteed stadium success
B) Higher profits
C) More ticket revenue
D) Increased debt
  • 23. What does a stadium's location impact?
A) Team's performance
B) Player salaries
C) Concession stand prices
D) Accessibility
  • 24. What is one way to increase stadium revenue?
A) Reduce ticket prices drastically
B) Stop selling food and drinks
C) Ignore customer feedback
D) Offer premium experiences
  • 25. What is the importance of public support?
A) Guarantees team success
B) Easier funding
C) Irrelevant to funding
D) Automatic project approval
  • 26. What happens if revenue projections are inaccurate?
A) Automatic bailout
B) Nothing
C) Increased profits
D) Financial difficulties
  • 27. Why is community engagement important?
A) Not important
B) Build support
C) Confuses the project
D) Slows things down
  • 28. What is one challenge with long-term financial projections?
A) Easy to predict
B) Never wrong
C) Economic uncertainty
D) Always accurate
  • 29. What is a purpose of a reserve fund?
A) Unnecessary expense
B) Increase salaries
C) Cover unexpected expenses
D) To buy more land
  • 30. What is an example of ancillary stadium revenue?
A) Player salaries
B) Concerts
C) Property taxes
D) Building construction
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