ROOMS DIVISION COST CONTROL PRELIM MAJOR EXAM

A hotel generates ₱900,000 in room revenue from 450 rooms sold. The ADR is ₱ (a)   .

Revenue per Available Room (RevPAR) is calculated as: RevPAR = (a)   × Occupancy Rate

If the ADR is ₱4,000 and occupancy rate is 85%, the RevPAR is ₱ (a)   .

Gross Profit is calculated using: Gross Profit = Total Revenue - Expenses

• TRUE

• FALSE

A hotel earns ₱1,500,000 in total revenue and incurs ₱600,000 in costs. The gross profit is ₱ (a)   .

Labor Cost Percentage is calculated as: Labor Cost Percentage = (Labor Cost ÷ Net Profit) × 100

• True

• False

A hotel’s labor cost is ₱120,000, and total revenue is ₱400,000. The labor cost percentage is (a)   %.

Net Income is calculated as: Net Income = Operating Income - Interest - Taxes

• True

• False

If a hotel has an operating income of ₱450,000, an interest expense of ₱70,000, and taxes of ₱30,000, the net income is ₱ (a)   .

Cost per Occupied Room (CPOR) is calculated as: CPOR = __________ ÷ Total Number of Rooms Occupied