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You are the manager at the 450 room Scrant Inn. You are looking out at a weekend day several weeks from now. You have already
You are the manager at the 450 room Scrant Inn. You are looking out at a weekend day several weeks from now. You have already sold 300 rooms at the rack rate of $249. Your sales manager Jim has a paper sales group that he would like to book for that night. They would bring in 130 at a rate of $199. Your Assistant Front Office Manager Dwight thinks you will be able to sell 115 rooms if you discount a noncancelable room to $209. Ryan reminds you that you could sell all other rooms to infinity.com for $175 a piece. The Net ADR Yield on the rooms already sold is 90%. Your cost to prepare a room for sale is $63. You know you pay 7.5% for a franchise fee and 2% for a franchise marketing fee. Your CRS fee is 1.25% and $0.75 per room. Your IDS charges you $10.50 per room. Fill in the following charts. With all information presented what option would you select and why
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