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Service costing

Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA MA – FIA FMA › Service costing

  • This topic has 4 replies, 2 voices, and was last updated 6 years ago by John Moffat.
Viewing 5 posts - 1 through 5 (of 5 total)
  • Author
    Posts
  • November 22, 2018 at 9:09 am #485478
    william2018
    Member
    • Topics: 11
    • Replies: 12
    • ☆

    A hotel calculates a number of statistics including average room occupancy.

    Average room occupancy is calculated as the total number of rooms occupied as a percentage of rooms available to let.

    The following info is provided for a 30-day period.

    Rooms with twin beds Single rooms
    number of rooms in hotel 260 70
    number of rooms available to let 240 40
    average number of rooms occupied daily 200 30

    What is the average room occupancy?

    A; 69.7%
    B. 82.1%
    C.82.7%
    D 84.8%

    The correct answer is B

    I have chosen the option D which is the wrong answer

    I will be grateful if you can help me, sir.

    November 22, 2018 at 9:13 am #485480
    william2018
    Member
    • Topics: 11
    • Replies: 12
    • ☆

    I am sorry for the table which is messy.

    number of rooms in hotel: (rooms with twin beds:260) (single rooms:70)
    number of rooms available to let: (rooms with twin beds:240) (single rooms:40)
    average number of rooms occupied daily: (rooms with twin beds:200) (single room:30)

    November 22, 2018 at 9:36 am #485490
    John Moffat
    Keymaster
    • Topics: 57
    • Replies: 54665
    • ☆☆☆☆☆

    The question wants to know what % of rooms are occupied, so it is irrelevant whether they are twin beds or single.

    The total number of rooms available to let is 240 + 40 = 280.
    The total number of rooms occupied is 200 + 30 = 230.

    Therefore the % occupied is 230/280 = 82.1%

    November 22, 2018 at 4:28 pm #485517
    william2018
    Member
    • Topics: 11
    • Replies: 12
    • ☆

    i have understood . Thank you Sir.

    November 23, 2018 at 9:01 am #485570
    John Moffat
    Keymaster
    • Topics: 57
    • Replies: 54665
    • ☆☆☆☆☆

    You are welcome 🙂

  • Author
    Posts
Viewing 5 posts - 1 through 5 (of 5 total)
  • The topic ‘Service costing’ is closed to new replies.

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