Triatt Resort has 200 rooms.Each room rents at $130 per night and variable costs total $42 per room per night of occupancy.The fixed costs total $18,700 per month.If 70% of the rooms are occupied each of the 30 nights in June, how much will total variable costs be for June?

Question

Quizplus · Accepted Answer

The total variable costs for June can be calculated as follows: Number of rooms occupied per night = 200 rooms * 70% = 140 rooms. Variable cost per room per night = $42. Total variable costs for June = 140 rooms * $42 * 30 nights = $176,400.

Triatt Resort Has 200 Rooms