The Hotel Business Has Changed Enormously Over the Past Thirty

question 6

Multiple Choice

The hotel business has changed enormously over the past thirty years. Which of the following are noted as being responsible for part of the change?

• A) Customers are becoming more loyal to their favorite hotel
• B) Special niche forms of lodging have been introduced
• C) The labor market is comprised of more experienced workers
• D) A hotels marketing department is becoming obsolescent
• E) All of the above

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Definitions:

Capital Lease

This is a lease agreement that is classified as a purchase by the lessee, allowing the lessee to record the leased asset as owned on their balance sheet.

Economic Life

The estimated period over which an asset is expected to be useful and generate revenue, differing from its physical life.

Off-Balance Sheet Financing

Off-Balance Sheet Financing is a financial obligation that is not directly recorded on the company's balance sheet and is used to keep debt-to-equity ratios low and improve financial indicators.

Operating Expenses

Costs associated with a company's main operational activities, excluding cost of goods sold, financing costs, and taxes.