City hotel provides their customers with 24 hour secure parking service, daily maid and complimentary Wi-Fi to all customers (Cityhotel, 2013). City hotel service concept is to provide budget rooms to all their customers at a reasonable rate. Customers can either book a single, double or twin bedroom at competitive rate compared to their competitors (Cityhotel, 2013). The operating strategy is getting customers to book online without paying for booking fees, hence reduction of administration cost. Walk in customers can also book at the counter and get instant booking confirmation in order to avoid discrepancies if there is room availability or not.
Phuket Beach Hotel Lease Option Years Room Revenue Revenue Reduction Rental Income Depreciation Repairs & Maint. Revenue Reduct. Additional Oper. Inc. Taxes Net Inc. After Tax Depreciation Initial Investment After-tax Cash Flow NPV IRR MIRR Equivalent Annual Annuity 0 Monthly Lease Rent Escalation 1 13,200,000 (1,650,000) 2,040,000 (192,500) (10,000) (1,650,000) 187,500 (56,250) 131,250 192,500 (770,000) (770,000) $165,016.99 20.8% 16.3% 52,906 323,750 300,650 Revenue Red.% 0.00% 6.25% 12.5% 18.75% 25.00% Revenue Red.% 2 13,464,000 (1,683,000) 2,040,000 (192,500) (10,000) (1,683,000) 154,500 (46,350) 108,150 192,500 170,000.00 5.00% 3 14,137,000 (1,767,125) 2,142,000 (192,500) (10,000) (1,767,125) 172,375 (51,713) 120,663 192,500 313,163 NPV $ 3,942,358.36 $ 2,053,687.68 $ 165,016.99 ($1,723,653.69) (3,612,324) NPV 0.00% $ 3,942,358.36 6.25% $ 2,053,687.68 12.5% $ 165,016.99 18.75% ($1,723,653.69) 25.00% (3,612,324) Taxes WACC(COC): 4 14,844,000 (1,855,500) 2,142,000 (192,500) (10,000) (1,855,500) 84,000 (25,200) 58,800 192,500 251,300 IRR 190.3% 111% 20.8% 20.8% 20.8% IRR MIRR MIRR 30% rd 10.75% wd 10% re 25% we 12% 75% WACC = kd*(1-T)*wd + ke*we WACC = rd * (1-T) * wd + re*we 74.2% 53.3% 16.3% -100% -100% 74.2% 53.3% 16.3% #Num -100% #Num -100% This is what the IRR looks like at 18.75% and 25% revenue reductions 190.3% 111% 20.8%
1995 Contract Negotiations Parameter | Expected | Offered | Remarks | Peak Period Rooms | 875 | 775 | Easy to let at full price. | Off Period Rooms | 150 | 150 | | Mid Period Rooms | 850 | 805 | Could be possible if date list modified. | Room Rate | $50 Per Night | $58 Per Night | Plus 12% Occupancy Tax | Breakfast Price | $ 7 | $8 | All taxes and gratuities. | Complimentary Rooms | | 1 For every 20 rooms | | Complimentary Hospitality Suite | | | 1:20 Complimentary Breakfasts | 3. Off Period Off Period | | Principal Objective: Improve Occupancy Rate | | | 2 pts per room as long as Room Rate exceeded min levels | | | | | | | | | | Min Level | $39 | | | | | | | Rate > $49 | 1 Bonus Point | | | | | | | | | | | | | | | Pick Up Rate | 100% | | | | | | | | | | | | | | | No Of Rooms : | 150 | | | | | | | Rate | $58 | | | | | | | No Of Points | 450 | | | | | | | | | | | | | | 4.
The building was twin towers jutted through the pines and it was developed with campus-like setting with 350 rooms, 2 swimming pools, 3 restaurants, small shop and small exercise and weight room. Conference room catered the corporate meetings with secretarial services, teleconferencing and personal computers. The hotel was built to fulfill the hotel services lacking in Riverton city and its main objective was to provide comfortable stay with overnight lodging. The establishment of this hotel was supported by the city council and mayor as it was projected to provide 3.8 million payroll and $ 350000 tax revenue to the city and $420000 for state. Gordon had brought in many managerial and supervisory staffs over past six months and all these managers had come from nationwide hotels.
The trainers will share a room with two queen beds at the cost of $60.00. Managers will also be paired up to share a room at the cost of $540.00 for nine rooms with each room containing two queen size beds. The banquet room will cost a total of $1,200.00 for the two days. The cost of the audio/video equipment has been included in this price as the hotel has its own equipment which will be suitable for our training sessions. Since the hotel offers a free continental breakfast, there will only be a cost for lunch and the dinner vouchers.
Esparza Catering vs. Petite Caterer Alicia Bouie, Israel Manalansan, Anthony McNair and Isaac Stovall Webster University BUSN 6070: Management Accounting Professor Gary Hickle May 7, 2013 Abstract In Management Accounting my group was assigned the below listed case study where Veronica Esparza operates a catering company that serves food and beverages at parties and business functions. One of the major events Esparza’s customers request is a cocktail party. She offers a standard cocktail party and has estimated the cost per guest as follows: Food and beverages………………………………….$ 15.00 Labor (.5hrs @10.00/hr)……………………………… 5.00 Overhead cost (.5hrs @13.98/hr)………………………. 6.99 Total cost per guest…………………………………… 26.99 The standard cocktail party last three hours and Esparza hires one worker for every six guest, so that works out to one-half hour of labor per guest. These workers are hired only as needed and are paid only for the hours they actually work.
Capacity is the maximum rate of output from a transportation process (Pineault, 2012, p. 110). To find the capacity of the ordering process at the Swanky Hotel, it is best to break down each step: - The service manager takes orders by phone = 2 minutes per order = 30 orders per hour - The amount of time to prepare food = 16 minutes per order = 3.75 per hour - There are 4 chefs in the kitchen, so 3.75 orders per hour x 4 = 15 - If there is a drink order, then drink orders = 3 minutes to fill by 1 bartender = 20 orders per hour - Taking the order to the room and billing the guest = 20 minuters per waiter = 3 per hour - There are 6 waiters, so 3 orders per hour x 6 = 18 orders per hour The capacity for this process is the minimum of the capacity of each resource, therefore the capacity would be 15 orders per hour, as with 4 chefs in the kitchen and each one averaging 3.75 orders an hour, the kitchen can process 15 orders per hour. The bottleneck of any process is the most constraining resource, or the one with the smallest capacity (Pinealt, 2012, p. 111). The bottleneck in this case would the kitchen preparation time. Even though the manager is able to take up to 30 orders per hour, the kitchen is only able to handle half of the amount of orders in the same amount of time.
The building was to be called Resham Tower. It is claimed in the plaint that the total consideration for purchase of the flat is Rs. 2,32,875/- to be paid in 14 instalments. Ms. Prakash Kaur claims that she has paid Rs. 12,875/- on two different dates as per receipts issued.
Briefly explain with evidence from the case. Question 2 Suppose Betapharm receives the following three bids for the hotel rooms from the Emptoris ePass system: ￼￼ Price per room ￼ Quality Specification Bid 1 $249 Valet parking for a fee; Last‐room availability is not guaranteed; Complimentary fitness center with indoor pool and spa; Free wireless access in guest rooms; Bottled water for a fee; Iron and ironing board; Complementary daily newspaper; In‐room smoke detector and sprinklers Bid 2 $175 Free parking for registered guests; In‐room wired internet service is optional for a fee; Nonsmoking rooms; Free off‐site fitness center; In‐room iron and ironing board; Continental breakfast buffet for a fee. ￼ Bid 3 $150 ￼Room for late arrival is guaranteed; Free Access to fitness center; In‐room iron and ironing board; Free daily newspaper; Complementary continental breakfast; Parking for a fee; In‐room smoke detector. Please use the rating scheme illustrated in Exhibit 3 in Part (A) of the case to evaluate the above three bids. Taking both price and quality into account, which bid(s) will most likely get rejected?