Answered step by step
Verified Expert Solution
Question
1 Approved Answer
help The Cheyenne Hotel in Big Sky, Montana, has accumulated records of the total electrical costs of the hotel and the number of occupancy-days over
help The Cheyenne Hotel in Big Sky, Montana, has accumulated records of the total electrical costs of the hotel and the number of occupancy-days over the last year. An occupancy-day represents a room rented for one day. The hotel's business is highly seasonal, with peaks occurring during the ski seoson and in the summet. Required: 1. Using the high-low method, estimate the fixed cost of electricity per month and the variable cost of electricity per occupancy-doy (Do not round your Intermedlate calculatlons. Round your Variable cost answer to 2 decimal places and Fiked cost element answer to nearest whole dbllar amount.) 2. What other factors in addition to occupancy-days are likely to affect the varlation in electrical costs from month to month? (You may select more than one answer. Single click the box with the question mark to produce a check mark for a correct answer and doubje click the box with the question mark to empty the box for a wrong answer. Any boxes left with a question mark will be automatically graded as incorrect.) Systematic factors tike guests, switching off fans and lights. Number of days present in a month. Incorve taxes paid on hotel income. Seasonal factors like winter or summet Fond salary paid to hotel teceptionist
help
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access with AI-Powered Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started