Case Assignment*
betcab
case2.the_fashion_channel.2014.cabello.xlsxAdRC
| The Fashion Channel Ad Revenue Calculator | |||||
| Multi Segments | One Segment | Two Segments | |||
| Current | 2007 Base | Strategy | Strategy | Strategy | |
| TV House Holds | 110,000,000 | 110,000,000 | 110,000,000 | 110,000,000 | 110,000,000 |
| Average Rating | 1.00% | ||||
| Average Viewers (thousands) | 1,100 | ||||
| Average CPM | $2.00 | ||||
| Average revenue per Ad minute | $2,200.00 | ||||
| Ad minites per week | 2,016 | 2,016 | 2,016 | 2,016 | 2,016 |
| Weeks per year | 52 | 52 | 52 | 52 | |
| Ad revenue per year | $230,630,400.00 | ||||
| Incremental program expenses | |||||
Financial Projection
| TFC Estimated Financials for 2006 and 2007 | ||||||
| 2006 Actual | 2007 Base | Multi Segments | One Segment | Two Segments | Assumptions | |
| Revenue | ||||||
| Ad Sales | $ 230,630,400.00 | |||||
| Affiliate Fees | $ 80,000,000.00 | 2% growth | ||||
| Total Revenue | $ 310,630,400.00 | |||||
| Expenses | ||||||
| Cost of Operations | $ 70,000,000.00 | 3% growth | ||||
| Cost of Programming | $ 55,000,000.00 | |||||
| Ad Sales Comissions | $ 6,918,912.00 | 3% of Ad Sales Revenue | ||||
| Marketing and Advertising | $ 45,000,000.00 | Increase expending $15,M | ||||
| SGA | $ 40,000,000.00 | 3% growth | ||||
| Total Expense | $ 216,918,912.00 | |||||
| Net Income | $ 93,711,488.00 | |||||
| Margin | 30 |
