Aafreen Pashia has just been named the general manager of the Balmour Hotel. The hotel has 300
Question:
Aafreen Pashia has just been named the general manager of the Balmour Hotel. The hotel has 300 rooms and a full‐service restaurant.July 1 of this year is her first day of work and Aafreen is reviewing the hotel’s operating results from the previous month. Aafreen has received the following information regarding the property’s June of this year operating results:
Room revenue: $945,000
Rooms sold: 6,300
Rooms available for sale: 9,000
Restaurant cost of goods sold: $50,880
Restaurant revenue: $169,600
Property net income: $222,920
Property total sales: $1,114,600
Required
a. What was the hotel’s average daily rate (ADR) for June?
b. What was the hotel’s occupancy percentage for June?
c. What was the hotel’s RevPAR for June?
d. What was the restaurant product cost percentage for June?
e. What was the property’s profit margin for June?
Expert Answer:
a The hotels Average Daily Rate ADR for June can be calculated using the formula ADR Room revenue Ro... View the full answer
