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Course Syllabus: Sport Finance and Business

SPORTMGT 424 – Spring 2008

UNIVERSITY OF MASSACHUSETTS

Isenberg School of Management, Department of Sport Management

Instructor:    Nola Agha   Office:             ISOM 226
Class Time:  M/W 10:10 - 11:25 a.m.   Office Hours: Wednesday 2:30 - 3:30 p.m.
Classroom:    ISOM 26                         or by appointment
Phone:           545-5637   Mail Box:       ISOM 230
Email:            nolaa@sportmgt.umass.edu
Course Website: http://intra.som.umass.edu/nagha

Course Pre-requisites:
FINOPMGT 300 or 301 through the Isenberg School of Management.

Reading Materials:  

Required

·     Fried, Shapiro, & DeSchriver (2003). Sport Finance. Human Kinetics Publishing: Champaign, IL. Text available at the UMass Textbook Annex.

 

·     Course Reading Packet. Available online.

 

·     Street & Smith’s SportsBusiness Journal.  Order forms that will be distributed in class must be returned to Maureen Kocot in the Sport Management Office, Room 236, with proper payment.

Course Catalogue Description
Basic theory in finance and accounting applied to managerial control of sport organizations. Includes forms of ownership, taxation, financial analysis, feasibility studies, and economic impact studies.

Course Objective
The objective of this course is to introduce students to the concepts of financial management as applied to the unique world of sports.  Students will:
- learn core financial theory as related to sports organizations
- apply analytical techniques to financial decision making in the context of a sports business
- explore the unique features of sports finance that distinguish it from other fields of study, including the relationships of tax and legal issues
- discuss current financial issues as they relate to facility construction, professional and collegiate sports, the Olympics, and other sports related businesses.

Course Method
The course material will be presented through lectures and class discussions.  Each student is expected to have the assigned readings completed BEFORE each class. This will enhance the understanding of the lecture and will also allow maximum participation in class discussions. 

Attendance
Attendance is expected of all students at EVERY class session.  Students are also expected to arrive to class on time. 

Students must notify the instructor of any known absences prior to the day of the absence.  If a student notifies the instructor after the missed class, it will be considered an unexcused absence.  For every unexcused absence, one point will be deducted from the student’s final grade.

Evaluation
Students’ achievement will be evaluated through a midterm exam, a final exam, a projects, and six quizzes.

Exams:
Exams will offer an eclectic mix of financial calculations, multiple-choice questions, short answer essays, and other question types that test the material presented in class and in the readings.

The midterm exam will take place on Wednesday, March 12. The final exam will take place during finals week at a specific date and time to be announced.

Project:
The Stock Analysis project will require a 5-page report that will be due October 18.

Quizzes and Homework:
Six quizzes will be given throughout the semester.  The best five scores will count towards your final grade.  There will be NO MAKE UPS for missed quizzes.  A missed quiz will simply count as your lowest score.  Multiple optional homeworks will be assigned throughout the semester.  They will not be collected or graded but will assist in learning the material for the quizzes and the exams. 
Quiz dates are: February 6, 19, 25, and April 2, 14, 28.

Extra Credit:
No extra credit is available for this course. All students have every possibility to do each class assignment to the best of their ability.

Grade Breakdown:

Final Exam                                                30%   Stock Analysis Project  15%
Midterm Exam                                          25%   Participation                      5%
Quizzes                                                     25%

Grading Scale:

A  100 - 93%   C   76.99 - 73%
A- 92.99 - 90%   C-  72.99 - 70%
B+ 89.99 - 87%   D+ 69.99 - 67%
B   86.99 - 83%   D   66.99 - 60%
B-  82.99 - 80%   F    less than 60%
C+ 79.99 - 77%  

Course Policies
- Students are expected to have read all assigned readings prior to each class.  Participation in class discussions is necessary and is augmented by proper preparation. 
- Assignments are expected to be submitted on the assigned due date. Work is due at the beginning of class on the assigned day. Anything handed in after the beginning of class will be considered late. Late work will face a deduction of 10% per day until completed, unless otherwise excused. 
- Class will always start on time.  Do not be late.
- Cell phones will NEVER ring in class.  Turn them off or leave them at home.
- Bring a calculator to class each day.

Plagiarism and Cheating
It is expected that ideas taken from articles, books, journals, etc. will be properly noted in all papers, homework, and assignments submitted.  It is important to remember that to copy or to paraphrase someone else’s work without proper reference is plagiarism.  Please read and become familiar with the proper guidelines for referencing any material used in your work (Publication Manual of the APA,, call number BF76.7.P83 2001).

Failure to follow copyright guidelines will result in an “F” for the paper and/or dismissal from the course.  Anyone caught cheating on assignments, quizzes, exams, or homework will be dismissed from the class.

Class Topics, Subject to Revision

**This is a suggested schedule of topics.  The class website always contains up-to-date information on topics, homework assignments, quizzes, and exams.**

Date

Topics

Chapters

Week 1

January 28 and 30

Introduction

Business Structure

Chapter 1

Week 2

February 4 and 6

Business Structure

Revenues and Expenses

Chapter 4 and 2

Week 3

February 11 and 13

Financial Statements and Ratios

Chapter 5

Week 4

February 19 and 20

Time Value of Money

Chapter 6

Week 5

February 25 and 27

Capital Stocks

Chapter 9

Week 6

March 3 and 5

Forecasting

Short Term Financing

*Stock Analysis Due*

Chapter 7

Chapter 8

*Stock Analysis Due*

Week 7

March 10 and 12

review

MIDTERM

 

MIDTERM

Week 8

March 24 and 26

Economic Impact

Bonds

 

Chapter 10

Week 9

March 31 and April 2

Bonds

Stadium Financing

 

 

Week 10

April 7 and 9

Capital Budgeting

Computer Lab

Chapter 11

 

Week 11

April 14 and 16

College Athletics

Taxation and Legal Issues

 

Chapter 14

Week 12

April 23

 

Pro Tax and Accounting

 

Week 13

April 28 and 30

Consulting Exercise

Salary Caps

 

 

Week 14

May 5 and 7

Business and Financial Aspects of the Olympics

 

 

Week 15

May 12

review

 

 

Final Exam

Date to be determined

FINAL EXAM

FINAL EXAM