Defined as the difference between the money spent and the money attained through an activity (advertisement, new program, etc.)
What is return on investment (ROI)?
100
Companies use this abbreviation to indicate the existing funds they have when beginning a budget.
What is COH (cash on hand)?
100
Ticket sales, NCAA/Conference distributions, and television/radio contracts.
What are the main sources of revenue for athletic departments?
100
Collective bargaining agreements operate under the purview of this organization and/or legislation.
What is the National Labor Relations Board/Act?
100
Economic impact, psychic income, and area development.
What are some of the reasons given for cities funding stadiums?
200
Usually the greatest expense for professional sport teams
What are player salaries or personnel costs?
200
This type of owner would be willing to pay the luxury tax multiple times for a chance at a championship.
What is a win-maximizing owner? (Opposite is profit maximizing)
200
Along with tuition, room, board, books, fees, etc., a scholarship can now include miscellaneous expenses.
What is the cost of attendance legistlation?
200
Wages are the largest expense, employees average career is less than five years, and the leagues are the top level
Why are CBAs particularly important in sport?
200
Politicians needs to get elected and owners have many more resources to influence the public conversation.
What are reasons stadium and arena deals keep getting approved?
300
This type of accounting focuses on tracking day to day numbers as opposed to planning for the future
What is financial accounting? (The opposite is managerial accounting)
300
In this type of budget, we are planning for building new facilities, development deals, and other long term goals (opposite of operational budget).
What is capital budgeting?
300
Instead of using student fees, just directly transferring funds from the university general fund to the athletic department.
What are tuition reallocations or subsidies?
300
For owners, a lockout. For players, a strike.
What is the last case or nuclear option for a CBA negotiation?
300
Any money spent at a sporting event is money not spent elsewhere in the local economy.
What is the substitution effect?
400
In this type of budgeting, you record the act when it occurs, not when the cash is spent or received.
What is accrual based budgeting? (Opposite is cash based budgeting)
400
In this type of bond, the municipality will pay off the loan with their standard overall tax base.
What is a general obligation bond?
400
Because of these arrangements, a non-Power Five team upsetting the highest ranked team in their conference may actually hurt them financially.
What is revenue sharing or conference distributions?
400
These systems are designed to account for the inherent advantages organizations have based on their market.
What is revenue sharing?
400
The ripple effect created when "new" money is spent in the local economy causing that amount of impact to grow.
What is the multiplier effect?
500
In this type of budget, you combine past results with projections for the future to develop a business plan. These are often created when a business is considering making a change or adding services.
What is a pro forma budget?
500
The idea that you would rather I give you 20 dollars in a year than 20 dollars tonight.
What is time value money or inflation?
500
A catchy title given to the thought that athletic department success can increase applications and enrollment to the university.
What is the "Flutie Factor?"
500
In the NBA, the ability to resign your own players to longer contracts that go over the salary cap.
What are Bird rights?
500
When an institution grows so large that their demise would almost assuredly cause a financial collapse in the economy.