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Problem 1
Identify the following as a revenue center or a support center:
Administrative and general
Marketing department
Room' department
Food department
Telecommunications department
Property operation and maintenance.
Problem 2
A motel has the following annual information. (Net indicates revenue after allowances.)
Room's revenue (net)
$897,500
Food revenue (net)
358,300
Beverage revenue (net)
159,870
Cost of food sales
135,200
Paid rooms occupied
17,950
Rooms available (75 daily)
27,375 (75 X 365)
Food covers
37,716
Compute the following ratios:
Average room rate
Occupancy percentage
Average food check
Food cost percentage
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