a. Calculate the difference in the number of seats between each of the current NHL venues in Canada and the MTS Centre.
b. NHL commissioner Gary Bettman has said that the NHL plays to 93% to 94% capacity. Suppose Rexall Place sold 93% of its seats during a regular-season game. Calculate the number of seats sold and compare that number to a potential sold-out game at the MTS Centre.
c. Assume there are 41 home games, and that the average price of an NHL ticket in Winnipeg is $75. If variable costs are 60% of revenue and the fixed cost is assumed to be the cost of the arena plus the cost of purchasing back the Coyotes for $165 million, calculate when the MTS Centre would break even if it only hosted NHL hockey games from the date of purchase on.

Transcribed Image Text:

Canadian NHL Arena Seating Capacity Vancouver Canucks Calgary Flames Edmonton Oilers Toronto Maple Leafs Montreal Canadiens Ottawa Senators Winnipeg Jets Rogers Arena Pengrowth Saddledome Rexall Place Air Canada Centre Bell Centre Scotiabank Place MTS Centre 18 630 seats 19 289 seats 16 839 seats 18 819 seats 21 273 seats 19 153 seats 15 015 seats