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The Surf and Sand Inn's condensed income statement for 206 and 207 is as follows: begin{tabular}{|l|r|r|} hline & multicolumn{1}{|c|}{206} & multicolumn{1}{|c|}{207} hline Room Revenue
The Surf and Sand Inn's condensed income statement for 206 and 207 is as follows: \begin{tabular}{|l|r|r|} \hline & \multicolumn{1}{|c|}{206} & \multicolumn{1}{|c|}{207} \\ \hline Room Revenue & $3,500,000 & $3,750,000 \\ \hline Room department expenses & 1,550,000 & 1,650,000 \\ \hline Undistributed operating expenses & 775,000 & 785,000 \\ \hline Gross operating profit & 1,175,000 & 1,315,000 \\ \hline Insurance, property taxes, and depreciation & 400,000 & 425,000 \\ \hline Interest expense & 100,000 & 95,000 \\ \hline Income before income taxes & 675,000 & 795,000 \\ \hline Income taxes & 236,250 & 278,250 \\ \hline Net income & 438,750 & 516,750 \\ \hline \end{tabular} Required: 1. Calculate Gross Operating Profit Margin for each year Post your response here, show your work 2. Calculate REVPAR for each year Post your response here, show your work The Surf and Sand Inn has 100 guestrooms only and its paid occupancy percentage was 78 3. Calculate Occupied Rooms for each year Post your response here, show your work 4. Calculate GOPAR for each year. percent and 80 percent for 206 and 207, respectively. Assume all rooms in the hotel were available for sale. Post your response here, show your work 5. Calculate the Operating Efficiency Ratio for each year Post your response here, show your work 6. Calculate Times Interest Earned for each year Post your response here, show your work
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