Last month Carls hotel ran a 55 occupancy His comp set had 5

Last month Carl’s hotel ran a 55% occupancy. His comp. set had 50,000 room nights available for sale and sold 25,000 rooms. What was Carl’s occupancy index last month? a. 100% b. 110% c. 120% d. 130%

Solution

Sol:

110%

rooms available*occupancy percentage=average daily rate

50000*0.55=27500

occupancy index=rooms occupied/no of rooms available for sale*100

hotel occupancy=0.55*50000=27500

company set occuppancy=25000

Carl’s occupancy index=27500/25000*100

=1.1

=110%

OptionB