Kansas City Zephyrs Baseball Club Case

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KANSAS CITY ZEPHYRS BASEBALL CLUB This case illustrates some basic accounting issues in a controversial setting. There are two parties in the case, which are Owner-Player Committee (OPC) – owners’ representative of the 26 major baseball league teams in collective bargaining negotiations and Professional Baseball Association (PBPA) – the player’s union. As we know, the baseball team owners and the players association were engaged in collective bargaining negotiations, so Bill met with Keith (Zephyrs' Owner) and Paul (player). In my view, I think Paul (the player) is right, and I want to explain in 5 areas as following: Roster Depreciation The owners point out depreciation on the player roster at the time the baseball club was…show more content…
The owners are allegedly “losing money” since they have selected accounting methods to hide their profits. Only 80% of the stadium operations expenses should be shown as only 2 of the owners actually profit from the stadium-pricing agreement. I believe the Paul (the play) is right, because in reality the owners are not losing any money as they so claim, but instead covering their profits with a
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