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Joel is the RM for the City Center Plaza hotel. He knows that under his franchise agreement, he pays an 8 percent franchise fee and

Joel is the RM for the City Center Plaza hotel. He knows that under his franchise agreement, he pays an 8 percent franchise fee and 3 percent marketing fee on all revenue generated from room sales. Additional fees for using the hotels CRS are $2.00 per each room reserved. Internet service provider (IDS) related charges paid by the hotel for rooms sold through Internet sites including uberhothotels.com are $10.00 per room sold. Given this information, help Joel complete the revenue estimate worksheet presented below.

Net ADR Yield Estimate Worksheet: City Center Plaza

Distribution Channel

Group rooms

Third-party merchant

Rooms sold

80

100

Standard rate

$185

$160

Gross revenue

Franchise fee (8%)

Franchise marketing fee (3%)

Franchisor's CRS fee ($2 per room)

IDS fee

Net total revenue

Net ADR yield

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