Use the Table Below to Answer the Following Question(s) -Calculate the Net Revenue

question 54

Multiple Choice

Use the table below to answer the following question(s) .
Below is a room overbooking model spreadsheet for the Metza, a hotel chain. The hotel has 425 rooms priced at $180 per day each, and is usually fully booked. Reservations can be cancelled any time before 5:00 p.m. with no penalty. The hotel estimates an average overbooking cost of
$150. Customer demand is set at 400 with an average cancellation of 20. $\begin{array}{|c|l|l|}\hline &A&B\\\hline1 & \begin{array}{c}\text { Hotel Overbooking Model } \\\text { for the Metza group of } \\\text { hotels }\end{array} & \\\hline 2& & \\\hline 3 & \text { Data } & \\\hline 4 & & \\\hline 5 & \text { Rooms Available } & 425 \\\hline 6 & \text { Price per room } & \$ 180 \\\hline 7 & \text { Overbooking Cost } & \$ 150 \\\hline 8 & & \\\hline 9 & \text { Model } & \\\hline 10 & & \\\hline 11 & \text { Reservation Limit } & 425 \\\hline 12 & \text { Customer Demand } & 400 \\\hline 13 & \text { Reservation Made } & \\\hline 14 & \text { Cancellations } & 20 \\\hline 15 & \text { Customer Arrivals } & \\\hline 16 & \text { Overbooked Customers } & \\\hline\end{array}$
-Calculate the net revenue.

• A) $72,900
• B) $76,500
• C) $64,650
• D) $68,400

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Definitions:

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The practice of engaging in sexual activity in exchange for money or goods, often regarded with varying legal and social attitudes.

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A form of marriage in which a woman has more than one husband at the same time.

Automatic System

An automatic system refers to processes or machinery designed to operate with minimal human intervention, often relying on preset rules or algorithms.