If you are not familiar with com (Links to an external site.)Inc. (PCLN), check out its website. Assume that an individual names a price of $85 on Priceline.com (Links to an external site.) for a room in Nashville, Tennessee, on August 22. Assume that August 22 is a Saturday with low expected room demand at a Marriott International, Inc. (MAR), hotel in Nashville, so there is excess room capacity. The fully allocated cost per room per day is assumed from hotel records as follows:

Housekeeping labor cost Hotel Depreciation Expense	$38 $43
Cost of room supplies (soap, paper, etc.)	8
Laundry labor and material cost*	10
Cost of Desk staff Utility cost (mostly air conditioning)	6 5
Total variable cost per day per room	$110

*Both housekeeping and Laundry staff include many part-time workers

Should Marriott accept the customers $85 bid? Why or why not?