Use the Case Below to Answer the Following Question(s)

question 74

Multiple Choice

Use the case below to answer the following question(s) .
The Tipton Hotel is considering a major remodeling effort and needs to determine the best combination of rates and suite sizes to maximize revenues.Currently,the hotel has 755 suites with the following history: Each market segment has its own price/demand elasticity.Estimates are: This means,for example,that a 1% decrease in the price of a standard suite will increase the number of suites sold by 1.5%.Similarly,a 1% increase in the price will decrease the number of suites sold by 1.5%.For any pricing structure (in $) ,the projected number of suites of a given type sold (we will allow continuous values for this problem) can be found using the formula:
(Historical average number of suites sold) + (Elasticity) (New price - Current price) (Historical average number of suites sold) /(Current price)
The hotel owners want to keep the price of a standard suite between $70 and $90; a gold suite between $90 and $110; and a platinum suite between $120 and $149.
Define S = price of a standard suite,G = price of a gold suite,and P = price of a platinum suite.
-Which of the following is the expression that can be used to determine the projected number of platinum suites sold?

• A)875 - 6.176471P
• B)255.7554 - 1.079137P
• C)600 - 4.081633P
• D)300 - 1.079137P

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Definitions:

Ethics

A set of moral principles that govern a person's behavior or the conducting of an activity, often applied in professional contexts.

Relativist Perspective

A viewpoint that suggests the value, truth, and standards of behavior can vary based on culture, society, or historical context.

Dignity and Worth

Core social work values emphasizing the importance of treating every individual with respect and considering their intrinsic value, regardless of circumstances.

Inherent Value

The intrinsic worth or importance of something, recognized as an essential or fundamental quality.