Business, 04.12.2019 00:31, michelle7511
The hotel manager receives an offer to hold the junior states of america (jsa) convention at the hotel in february, which is the hotel’s low season with an occupancy rate of under 45%. jsa would reserve 100 rooms for four nights if the hotel could offer a 50% discount, or a rate of $205 per night. the hotel manager is inclined to reject the offer because the cost per room per night is $220. should the offer from jsa should be accepted or rejected? what is the contribution margin from accepting the offer?
Answers: 3
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