A small motel operation with 50 rooms has an average yearly occupancy rate of 74%. The...

 

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A small motel operation with 50 rooms has an average yearly occupancy rate of 74%. The forecasted sales revenue for the coming year is $842,712. What is the average room rate expected to be? Assume a rooms operation had 45 each, 220-square-foot rooms, and 25 each, 160-square-foot rooms with an average 70% occupancy for both types of rooms. Room sales revenue per day of $2,390 is required. De- termine the rate to charge for each square foot. A small motel operation with 50 rooms has an average yearly occupancy rate of 74%. The forecasted sales revenue for the coming year is $842,712. What is the average room rate expected to be? Assume a rooms operation had 45 each, 220-square-foot rooms, and 25 each, 160-square-foot rooms with an average 70% occupancy for both types of rooms. Room sales revenue per day of $2,390 is required. De- termine the rate to charge for each square foot.