Wednesday, May 04, 2005
Stadium cost tactics
Finland, take a note. Variable stadium building cost is going to double. Fixed starting cost for building project is coming down from 60k euro down to 10k euro. Together this makes an interesting change. I put my trained monkey - Tony - to toss around the abacus and out came the calculus.
x+60000=2x+10000 (some mathematical magic)
x=50000
As you can see, I aint feeding bananas fer mi chief financial consultant for nothing. Tony has now successfully determined the point where the old cost structure is in balance with the new. So if we want to get any financial advantage from the old stadium cost system, we need to sink more than 50k euro to variable costs.
Im gonna put down 300k to facelift my arena, how about you?
x+60000=2x+10000 (some mathematical magic)
x=50000
As you can see, I aint feeding bananas fer mi chief financial consultant for nothing. Tony has now successfully determined the point where the old cost structure is in balance with the new. So if we want to get any financial advantage from the old stadium cost system, we need to sink more than 50k euro to variable costs.
Im gonna put down 300k to facelift my arena, how about you?
