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Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA MA – FIA FMA › Service costing
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.
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)
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%
i have understood . Thank you Sir.
You are welcome 🙂
