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Use the Following Information to Calculate an Ideal Average Room

Question 39

Multiple Choice

Use the following information to calculate an Ideal Average Room Rate Formula: The New York Metropolis Lodge has 350 rooms. There are three categories of rooms; 200 are standard rooms that sell for $80 (and $90 double occupancy) ; 100 are city deluxe rooms that sell for $110 (and $125 double occupancy) ; 50 are executive parlors that sell for $145 (and $165 double occupancy) . Calculate the rate assuming a 30 percent double occupancy rate:


A) $85.00
B) $105.56
C) $101.71
D) $97.86
E) None of the above.

Correct Answer:

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