1. Using the data from Problem 17.11

, calculate the management fee based on the following three options:

a. Basic fee of 2.5% of gross revenue plus 10% of IAUOE

b. Basic fee of 3.5% of room revenue, 4.5% of food and beverage revenue, and 7% of IAUOE

c. Basic fee of 3.5% of gross revenue and 12% of IAUOE subordinated to cash flow available after debt payment 2. Which option would be preferred by the owner? Which option would be preferred by the management company?