A hotel's management has estimated that in the next yearthere will be 6,300 guest nights at a room rate of £60 per night.Variable costs are always 25% of sales revenue. Fixed costs for theyear are expected to be £207,900
What is the validity of the followingstatements?
With no change in the number of guest nights, thebreakeven room rate is £45.
A True
B False
With no change in room rate the breakeven number ofguest nights is 4.620:
C True
D False
A hotel's management has estimated that in the next year there will be 6,300 guest nights at a room rate of £60 per nigh
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