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You are the revenue manager for a hotel in Charlotte, NC with 4 0 0 rooms. You ve just received an RFP from a group

You are the revenue manager for a hotel in Charlotte, NC with 400 rooms. Youve just received an RFP from a group asking for a block of rooms for a three-day meeting; specifically, they are asking for 285,305, and 225 rooms for nights 1 to 3, respectively. You anticipate your transient occupancy rates for those three nights as 75%,79%, and 82% for nights 1 to 3, respectively. For the transient guests, you anticipate an ADR of $255. The group is requesting a $180 room rate for each of the three nights. Focusing only on total room revenues, what is the net revenue change if you accept this group business?

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