JMU HM 441- Exam 1 |32 Questions with Answers 2023, Exams of Business Administration

Download JMU HM 441- Exam 1 |32 Questions with Answers 2023 and more Exams Business Administration in PDF only on Docsity! JMU HM 441- Exam 1 |32 Questions with Answers 2023 If a 210-seat restaurant is open 360 days a year for 8 hours a day and has total annual revenue of $6,000,000. Its RevPASH is: - CORRECT ANSWER $9.92 The bottleneck activity of a service delivery system has the: - CORRECT ANSWER lowest throughput rate If a restaurant had an overall average RevPASH of $14 and an overall seat occupancy of 66%, its average check would be: - CORRECT ANSWER $21.21 Room rates are only one element of revenue; in constrained demand market situations, hotels want to capture what? - CORRECT ANSWER Highest-Yield guests based on total spend After customers have met their basic financial requirements, any remaining money is considered what? - CORRECT ANSWER Discretionary Income How do an internal ADR and an external ADR differ? - CORRECT ANSWER External ADR uses gross room revenue, while internal ADR generally does not The hurdle rate is... - CORRECT ANSWER The Lowest Rate for a Given Day If the total rooms occupied are 622 and the total rooms available are 850, then the room occupancy percentage is: - CORRECT ANSWER 73.2% Tashia's hotel sold 175 rooms last night at an ADR of $200.00. Her hotel has 250 rooms. What was Tashia's RevPAR last night? - CORRECT ANSWER $140.00 Which forecasts are less detailed and accurate? - CORRECT ANSWER Strategic Forecast (Long Term) How do we call the concept of changing room rates daily or even several times within a day based on up-to date changing market information? - CORRECT ANSWER Demand-Based Dynamic Pricing Which are the rates which always apply to membership organizations? - CORRECT ANSWER Promotional Rates To interpret measures of a hotel's performance, managers often compare those measures with: - CORRECT ANSWER Budget for the period, industry or sector averages, and historical figures from comparable earlier periods at the hotel Revenue Management is a set of revenue maximization strategies and tactics that: - CORRECT ANSWER Can be used to improve the profitability of certain businesses Pace of build refers to: - CORRECT ANSWER The rate at which reservations are being made for a future date A benefit of variable pricing within revenue management is the smoothing of demand. - CORRECT ANSWER True What is not part of the revenue management key performance indicators (KPI) you can research to determine past performance? - CORRECT ANSWER Net Revenue Revenue Management includes multidisciplinary management techniques applied to several set-sectors of hospitality. What is not one discipline within revenue management? - CORRECT ANSWER Logistics Management Inflation affects how we measure growth. If a hotel raises its room rates by 5% during a period with a 2% inflation, its nominal growth is 5%, but its real growth is: - CORRECT ANSWER 3% Gross operating profit per available room equals the gross operating profit for a period divided by the: - CORRECT ANSWER Available rooms during that period