If the model was so that any cost of purchasing the tiny house was paid by the investor then Tiny Hotels would receive 50% of the post-cleaning revenue. Use scenario analysis to show the range of 5 year revenue contribution per Tiny Hotel if the range of per night costs were $160-$250 and the occupancy rate varied from 50% to 80%. Cleaning costs are estimated to be 10% of revenue. Scenario analysis typically provide 3 different estimates for each variable. present the Excel sheet.

NPV of selling hotel under different scenarios:

1. When cost price for hotel is $30,000, NPV will be$ 70,000
2. When cost price for hotel is $71,900, NPV will be$ 28,100
3. When cost price for hotel is $89,900, NPV will be$ 10,100