Question

3. Tony Marshall is the general manager of the 110‐room Best Comfort hotel. Tony is compiling information to be used to develop the rooms revenue portion of his June statement of income. Tony knows that his total rooms revenue for the month was $265,650, but he would also like to create a supporting schedule detailing exactly how the rooms revenue was generated.

Tony’s front office manager classifies rooms sales as transient, group, or contract. Complete the rooms revenue detail report presented below. Then, answer the questions that follow:

Best Comfort Hotel Rooms Revenue Detail: June
	Revenue ($)	Revenue %
Transient Rooms Revenue	$         138,138
Group Rooms Revenue
Contract Rooms Revenue	$           47,817
Total Rooms Revenue	$         265,650	100%

a. Which type of room sales contributed the largest dollar amount to Tony’s June rooms revenue?

b. Which type of room sales contributed the smallest percentage amount to Tony’s June rooms revenue?

Answer 1

	Revenue	Revenue %
Transient Rooms Revenue	$ 138,138.00	52%
Group Rooms Revenue (working1)	$   79,695.00	30%
Contract Rooms Revenue	$   47,817.00	18%
Total Room Revenue	$ 265,650.00	100%

Working 1

Group Rooms Revenue=265650-138138-47817

=79,695

a. Which type of room sales contributed the largest dollar amount to Tony’s June rooms revenue?

Transient Rooms Revenue of 138183 contributed the largest dollar amount to Tony’s June rooms revenue

b. Which type of room sales contributed the smallest percentage amount to Tony’s June rooms revenue?

Contract Rooms Revenue contributed the smallest percentage amount to Tony’s June rooms revenue of 18%