Hotel Ratio Activity
In this activity you will evaluate the performance of an actual hotel relative to its performance from the prior year. The basis for comparison will be many of the ratios presented in the course. To complete this you will need to gather financial information for each year, calculate the ratios, then make 5 meaningful observations from the data. Make sure you include only the relevant data in your analysis. A large portion of this assignment is based on your accuracy in including the correct information.
	This Year	Previous Year
Total Rooms Sold	37,369	28,958
Total Rooms Available for Sale	54,750	54,750
Current Assets	123597	127281
Inventory	16428	14842
Prepaid Expenses	8490	6485
Fixed Assets	15036194	15859635
Total Assets	15352558	16417721
Current Liabilities	1286838	1886306
Total Debt	14293859	15100319
Total Equity	1058699	1317402
Sales	4611219	3896126
Cost of Sales	257233	257233
EBIT	753114	304604
Interest Expense	980842	1016476
Net Income	-258703	-739872
Current Ratio	0.096	0.067
Quick Ratio	0.077	0.056
Inventory Turnover	15.658	17.331
Asset Turnover	0.300	0.237
Fixed-Asset Turnover	0.307	0.246
Debt-to-Asset Ratio	0.069	0.080
Debt-to-Equity Ratio	13.501	11.462
Times Interest Earned	0.768	0.300
Net Profit Margin	-5.61%	-18.99%
Return on Investment (Assets)	-1.69%	-4.51%
Return on Investment-DuPont (Assets)	-1.69%	-4.51%
Return on Equity	-24.44%	-56.16%
Occupancy Percentage	68.25%	52.89%
Average Daily Rate	US$103.06	US$112.98
RevPAR	US$70.35	US$59.76
Food Cost Percentage	41.28%	40.92%
Beverage Cost Percentage	31.72%	48.94%
Make 5 meaningful observations by comparing the hotels ratio performance to that of It's prior year.
Observation 1
Observation 2
Observation 3
Observation 4
Observation 5