Comment on amortization of nba franchise

Assignment Help Cost Accounting
Reference no: EM13540728

Boston Celtics Limited Partnership II and Subsidiaries presented these consolidated statements of income for 1998, 1997, and 1996.

BOSTON CELTICS LIMITED PARTNERSHIP II AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF INCOME

 

For the Year Ended

Revenues:

June 30,
1998

June 30,
1997

June 30,
1996

Basketball regular season

$39,107,960

$31,813,019

$35,249,625

Ticket sales

28,002,469

23,269,159

22,071,992

Television and radio broadcast rights fees

8,569,485

7,915,626

7,458,651

Other, principally promotional advertising

75,679,914

62,997,804

64,780,268

Costs and expenses:

     

Basketball regular season

     

Team

40,401,643

40,941,156

27,891,264

Game

2,820,107

2,386,042

2,606,218

General and administrative

13,464,566

13,913,893

15,053,333

Selling and promotional

4,819,478

4,680,168

2,973,488

Depreciation

208,162

189,324

140,894

Amortization of NBA franchise and other intangible assets

165,035

164,702

164,703

 

61,878,991

62,275,285

48,829,900

 

13,800,923

722,519

15,950,368

Interest expense

6,017,737

5,872,805

6,387,598

Interest income

6,402,366

6,609,541

8,175,184

Net realized gains (losses) on disposition of marketable

     

securities and other shortterm investments

     

Income from continuing operations before income taxes

     

Provision for income taxes

     

Income from continuing operations

     

Discontinued operations:

     

Income from discontinued operations (less applicable income taxes of $30,000)

   

82,806

Gain from disposal of discontinued operations (less applicable income taxes of $17,770,000)

   

38,330,907

NET INCOME

12,267,317

420,306

54,200,529

Net income applicable to interests of General Partners

306,216

62,246

1,291,014

Net income applicable to interests of Limited Partners

$11,961,101

$358,060

$52,909,515

Per unit:

           

Income from continuing operations-basic

$

2.45

$

0.07

$

2.68

Income from continuing operations-diluted

$

2.17

$

0.06

$

2.59

Net income-basic

$

2.45

$

0.07

$

9.18

Net income-diluted

$

2.17

$

0.06

$

8.89

Distributions declared

$

2

$

1

$

1.5

Required

a. Comment on Amortization of NBA Franchise and Other Intangible Assets.

b. Would the discontinued operations be included in projecting the future? Comment.

c. The costs and expenses include team costs and expenses. Speculate on the major reason for the increase in this expense between 1996 and 1997.

d. What were the major reasons for the increase in income from continuing operations between 1997 and 1998?

e. Speculate on why distributions declared were higher in 1998 than 1996. (Notice that net income was substantially higher in 1996.)

Reference no: EM13540728

Questions Cloud

Explain what kind of intermolecular attractive forces : What kind of intermolecular attractive forces would be present between the particles in the following substances
Express this difference on the celsius scale. : The temperature difference between the inside and the outside of a home on a cold winter day is 49°F. Express this difference on the Celsius scale.
Explain sulfur dissolves more in nonpolar solvents : One of the allotropes of sulfur is the orthorhombic form, formula of S8 (8 is a subscript), which is a brittle, yellow solid. It does not conduct electricity. This form is stable below 94.5 deg C. It dissolves more in nonpolar solvents.
What is its forecasted dividend payout ratio : Quality Land Surveyors Inc. has the following data. If it follows the residual dividend model, what is its forecasted dividend payout ratio?
Comment on amortization of nba franchise : Comment on Amortization of NBA Franchise and Other Intangible Assets and what were the major reasons for the increase in income from continuing operations between 1997 and 1998?
Calculate how much kinetic energy is lost in the collision : A railroad car of mass 2.5 104 kg moving at 3.50 m/s collides and couples with two coupled railroad cars, How much kinetic energy is lost in the collision
Calculate the coordinates of jupiter in equitorial system : On September 2nd, 2010, you come home after working long hours on your homework on "Intro to Astrophysics" and lemonade. To the south; you see the bright planet Jupiter about 58 degrees above the horizon. (a) What time is it? (b) Calculate the coordi..
Calculate the present value of the three contract proposals : Calculate the present value of the three contract proposals offered by the U.S. team. Factor in any probability considerations where appropriate.
Prepare a statement of budgeted costs for working : Prepare a statement of budgeted costs for working out the overhead recovery rates in percentages - work out the lowest quotation for the export order.

Reviews

Write a Review

Cost Accounting Questions & Answers

  Cost accounting assignment

Evaluate Method of measuring costs associated with production, budgeting process, normal job-order costing system , master budget, cycle time.

  Prepare the journal entries

Prepare the journal entries to record the bond issue and interest expense.

  Advise as to the liability of all the parties

Write a report on given case study and Advise as to the liability of ALL the parties both under common law and the Corporations Law.

  Prepare revenues budget

Prepare Revenues budget and Production budget in units

  Effect of exchange rate changes on cash and cash

Effect of exchange rate changes on cash and cash

  Corporate governance

You are to reflect on how this case of China Sky relates to what the arguments for and against allowing audit firm partners and/or employees to join audit committees.

  Cost-benefit analysis

A cost-benefit analysis of electronic medical records in primary care

  Non-annual interest rates and annuities

Theory of Interest- Non-annual interest rates and annuities

  Job costing in service organizations

How is job costing in service organizations different from job costing in manufacturing environments?

  Accounting for bad debt expense

Accounting for bad debt expense

  Accounting and partnership problems

Accounting and Partnership problems

  Development of relevant cash flows

Development of relevant cash flows - Cost estimating and financial analysis

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd