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Business, 17.12.2019 18:31 pedroramirezr2

Agiven hotel has 150 rooms. operating expenses run about $980,750 annually. depreciation is scheduled at $645,500 per year. additional costs (taxes, insurance, etc.) are expected to be about $226,750 for the year. the owners require a reasonable return of $647,000 per year for their investment. net income (repeatâ ¦ this is net income) from other operated departments (like lounge and restaurant) is projected to be $500,000 annually. calculate the hubbart room rate required assuming a 75% annual occupancy rate.

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