Which of the following is a typical revenue source for recreation facilities?

Prepare for the Recreation Facility Management Exam. Test your knowledge with flashcards and multiple choice questions, complete with hints and explanations. Get ready for success!

Membership fees are a typical revenue source for recreation facilities because they provide a steady stream of income that helps cover operational costs and facility maintenance. These fees are usually paid by individuals or families who wish to access the recreational services and amenities that the facility offers, such as swimming pools, gyms, sports courts, and classes.

Membership models can take various forms, such as annual or monthly subscriptions, and they incentivize community engagement and commitment to using the facility regularly. This form of revenue is essential, as it directly supports the financial health of the facility and can be a primary source of funding for improvements, special programs, and events.

In contrast, utility bills are expenses, not revenue, as they represent the operating costs of running the facility. Advertising costs typically do not generate revenue for the recreation facility itself, even though the facility may host advertisements—it would often incur costs associated with this. Employee salaries are also expenses that directly relate to the operational budget of the facility and do not contribute to its revenue streams.

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