The following is information related to Hotel Seri: Staff salary: RM740,000 per year. Room attendant: RM30 per
Question:
The following is information related to Hotel Seri:
Staff salary: RM740,000 per year.
Room attendant: RM30 per day. The hotel provides one room attendant for each room used.
Utility: Cost of electricity and water, typically, is RM200 per month when the room is used.
Building repair: RM70,000 per year.
Sheets, towels & etc.: RM33,600 per year.
General expenses: RM46,200 per year.
Interior decoration and accessories: RM70,000 per year.
Depreciation of 5% is charged on building and equipment worth RM5 million. For equipment worth RM1 million, depreciation of 10% is charged.
5% interest is charged on the investment of building and equipment amounted RM3.5 million.
The hotel has 100 rooms where the occupancy rate is 30% full for the first six months. And 80% full for the next six months. Suppose there are 30 days in a month.
Required :
Calculate the room rate to be charged to the customer by making a profit of 25% of the total costs.