Question
Union Club Hotel has 184 rooms. Its average daily rate (ADR) is $162, and a per occupied room cost is $13. The hotel's fixed costs
Union Club Hotel has 184 rooms. Its average daily rate (ADR) is $162, and a per occupied room cost is $13. The hotel's fixed costs are $26,050 per month. The hotel would like to reach a monthly profit of $11,900.
Each month, how many rooms they need to sell to reach this goal?
(what is the required occupancy percent (e.g. 50% instead of 0.5) to reach this goal?
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Financial Accounting Impact On Decision Makers
Authors: Gary A. Porter, Curtis L. Norton
7th Edition
1111464936, 978-1111464936
