Your task is to provide recommendations concerning the optimal size of the new Riverside Stand.

You have been provided an Excel file (called Ticket Sales.xlsx available on Moodle) showing

the forecast for average number of tickets per game that could potentially be sold from

2022 to 2041.

The demolition and building of the new stand will incur a fixed cost of £55 million. The fixed

cost includes the construction of 3,000 seats (a minimum requirement), restaurants,

meeting facilities, and bars.

The owners have the option of further increasing the capacity. For every additional 1,000

seats, the variable cost is £3 million (e.g., a 7,000 seat stand would cost £67 million). The

maximum allowable capacity of the new stand is 10,000 seats.

Your clients have informed you that they are planning to draft a contract stipulating that

30% of the project's costs must be paid the day building works start (1 July 2022). A further

10% will be payable when work is completed (1 April 2024, just in time for the 2024 season).

The remaining costs need to be paid in equal monthly payments at the end of each month

during construction.