A 335-room hotel property recorded in 2004 a 66.6% occupancy and an ADR of $117.98. What is the propertys franchise fee (1) on a per available room basis and (2) as a percentage of rooms revenue if the agreement required the hotel to pay a reservation fee of $7.65 per available room per month; a royalty fee of 5% of rooms revenue; an advertising fee of 2.3% of rooms revenue; and a frequent traveler program fee of $5.00 per occupied room. The hotel had frequent stay guests totaling 6% of the occupied rooms. The initial fee is a minimum of $45,000 plus $300 per room for each room over 150.

1. Please use the information from Question 1 to calculate the Initial fee.

Initial fee (round to a whole number) $___

2. Please use the information from Question 1 to calculate the Total franchise fee.

Total franchise fee (round to a whole number) $ ___

3.Please use the information from Question 1 to calculate the Franchise fee on PAR basis.

Franchise fee on PAR basis (round to two decimal places) $___ PAR/yea

4.Please use the information from Question 1 to calculate the Franchise fee as a % of revenue.

Franchise fee as a % of revenue (round to two decimal places) ___%