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Section 2 - Calculations (30 points) 3.Karla is the RM at a 200-room select service hotel near a major highway. Last year, her ADR was

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Section 2 - Calculations (30 points) 3.Karla is the RM at a 200-room select service hotel near a major highway. Last year, her ADR was 149.99 and her property ran at 80 percent occupancy. Karla is considering the impact on her property of implementing programs that would increase her ADR by 5 percent and 10 percent. If she increases ADR by 5 percent, she anticipates a 77.5 percent occupancy next year. If prices are increased by 10 percent she forecasts her occupancy will decline to 70 percent. Finish the calculations she needs to complete the revenue analysis form below, and then answer the questions that follow. (18 points) 200 Room Property Last Year 5% ADR 10 % ADR Increase Pricing Increase Actual/ Forecasted Occupancy % 80.00% 77.50% 70.00% Rooms sold ADR 149.99 Rev RevPAR N/A RevPAR change Controllable operating costs @ $45.00 per room Gross operating profit GOPPAR GOPPAR change GOPPAR GOPPAR change 3.1. What was Karla's RevPAR last year? (3 points) 3.2. What would be the % change in Karla's RevPAR with a 5 percent increase in ADR? (3 points) 3.3. What would be the % change in Karla's RevPAR with a 10 percent increase in ADR? (3 points) 3.4. What was Karla's GOPPAR last year? (3 points) I 3.5. What would you advise Karla to do? Explain your answer. (6 points) 4. Graham prepares a daily Rooms Forecast Report that is shared with the Housekeeping, F&B, and Front Office Managers of the 350-room Dream Hotel. Today is Monday. Help Graham complete Tuesday's Rooms Forecast Report using the following information he has compiled from historical records, current PMS data, and his own insight into rooms sales related events likely to occur today. There are 85 rooms reserved; 105 stay-overs; 10 overstays; 10% of the reservations are expected to be no-show and there are 5 early departures. Answer the questions that follow. (Please note there is no table provided for this.) (12 Points) 4.1. How many rooms does Graham forecast will be occupied on Tuesday night? (3 Points) 4.2. What is Graham's occupancy % forecast for Tuesday night? (3 Points) 4.3. Assume Graham's forecasted ADR for the night is 175.00. What would be his estimated total room revenue for this date? (3 Points) 4.4. Given his forecasted ADR, what would be forecasted RevPAR for this date? (3 Points)

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