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(3 points) A hotel has 155 rooms and forecasts to sell 145 transient rooms at $95 each on average on December 1st. A group wants
(3 points) A hotel has 155 rooms and forecasts to sell 145 transient rooms at $95 each on average on December 1st. A group wants 40 rooms at the rate of $60 for one night on December 1st and promises F&B revenue of $200. For the hotel, the variable cost of selling a room is $45 and the variable cost percentage for F&B is 65%. On average, the hotel transient customers spend $10 per customer per day on F&B during their stay at the hotel. Should the hotel accept this group request? Why or why not? Support your answer by showing your calculations.
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