The Portland Stallions professional football team is looking at its future revenue stream from ticket sales. ​ Currently, a season package costs ​$425 per seat. The season ticket holders have been promised this same rate for the next five years.   Six years from now the organization will raise season ticket prices based on the estimated inflation rate of 3.5​%. What will the season tickets sell for in six ​years?

Entrepreneurial Finance
6th Edition
ISBN:9781337635653
Author:Leach
Publisher:Leach
Chapter13: Other Financing Alternatives
Section: Chapter Questions
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The Portland Stallions professional football team is looking at its future revenue stream from ticket sales. ​ Currently, a season package costs

​$425

per seat. The season ticket holders have been promised this same rate for the next

five

years.  

Six

years from now the organization will raise season ticket prices based on the estimated inflation rate of

3.5​%.

What will the season tickets sell for in

six

​years?

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