Thursday, March 9, 2017

TOTAL COST


The Sunrise Hotel has 200 rooms. Each room rents at $110 per night and variable costs total $16 per room per night of occupancy. Fixed costs total $84,000 per month. If the hotel is able to increase occupancy to 90% by how much will total costs increase for the month of February (28 days)?A) $7,168.

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