Read Exercise 18-19

Using what you learned in this chapter, in other classes, and online resource, how would you decide whether or not to accept a bid?

Provide support for your decision

EX 18-19 Uses of managerial accounting in a service company LO 1,4 Priceline.com allows customers to bid on hotel rooms by "naming their price." This "name your price process allows customers to obtain a better rate on a hotel room than they might be able to obtain by reserving their room directly from the hotel. The hotel can also benefit from this transaction by filling empty hotel rooms during periods of low occupancy. Natalie Mooney bids $85 for a night's stay at the Hotel Monaco in Seattle on Saturday August 10. The Hotel Monaco is not fully booked that evening and would likely accept any reasonable bids. How might the Hotel Monaco use managerial accounting information to decide whether or not to accept Natalie's bid