REVENUE MANAGEMENT EXAM 1 UPDATED
2026 EXAM
Quiz Room Night - Answer :The single night's use of a guest room
EX: 1 room sold for 3 consecutive nights yields three room nights
Quiz :reference price - Answer :the price perceived by consumers to be the normal price for a
product of service
Quiz :Hard constraint - Answer :a supply constraint that cannot be removed regardless of product
demand
EX: natural gas pipelines, number of hotel rooms
Quiz :soft constraint - Answer :a supply constraint that can, with sufficient lead time, and/ or a
reasonable expense, be removed or lessened
EX: food, hotel decorations
Quiz :price fence - Answer :the specific requirements that describes who is and is not eligible for a
special pricing offer
Quiz :consumer surplus - Answer :the difference between the amount a buyer would be willing to
pay for a product or service and the amount they are charged
Quiz :fixed pricing - Answer :the practice of a seller charging the same price to all buyers
Quiz :differential pricing - Answer :the practice of a seller charging different prices to different
buyers for the same product or slightly different versions of the same product
Quiz :Different pricing strategies - Answer :-time
-quantity
, -location
-payment terms
-customer characteristics
-bundling
Quiz :inventory management - Answer :the process of allocating and modifying the number of
products available for sale at various prices and through various distribution channels
Quiz :revenue - Answer :total amount of sales acieved in a specified time period
= number of units sold x unit price
Quiz :supply - Answer :the higher the demand for product, the more of it will be produced by sellers
Quiz :demand - Answer :the higher the price of a product, the less of it will be wanted by buyers
Quiz :ADR= - Answer :total room revenue/total rooms sold
Quiz :Occupancy= - Answer :total rooms sold/total rooms available for sale
Quiz :REVPAR= - Answer :total revenue/total rooms available for sale
OR
occupancy x ADR
Quiz :REVPASH - Answer :total period revenue/(number of available seats x hours of seat
availability)
Quiz :GOPPAR= - Answer :(total revenue - M.C.E.)/ total available rooms
2026 EXAM
Quiz Room Night - Answer :The single night's use of a guest room
EX: 1 room sold for 3 consecutive nights yields three room nights
Quiz :reference price - Answer :the price perceived by consumers to be the normal price for a
product of service
Quiz :Hard constraint - Answer :a supply constraint that cannot be removed regardless of product
demand
EX: natural gas pipelines, number of hotel rooms
Quiz :soft constraint - Answer :a supply constraint that can, with sufficient lead time, and/ or a
reasonable expense, be removed or lessened
EX: food, hotel decorations
Quiz :price fence - Answer :the specific requirements that describes who is and is not eligible for a
special pricing offer
Quiz :consumer surplus - Answer :the difference between the amount a buyer would be willing to
pay for a product or service and the amount they are charged
Quiz :fixed pricing - Answer :the practice of a seller charging the same price to all buyers
Quiz :differential pricing - Answer :the practice of a seller charging different prices to different
buyers for the same product or slightly different versions of the same product
Quiz :Different pricing strategies - Answer :-time
-quantity
, -location
-payment terms
-customer characteristics
-bundling
Quiz :inventory management - Answer :the process of allocating and modifying the number of
products available for sale at various prices and through various distribution channels
Quiz :revenue - Answer :total amount of sales acieved in a specified time period
= number of units sold x unit price
Quiz :supply - Answer :the higher the demand for product, the more of it will be produced by sellers
Quiz :demand - Answer :the higher the price of a product, the less of it will be wanted by buyers
Quiz :ADR= - Answer :total room revenue/total rooms sold
Quiz :Occupancy= - Answer :total rooms sold/total rooms available for sale
Quiz :REVPAR= - Answer :total revenue/total rooms available for sale
OR
occupancy x ADR
Quiz :REVPASH - Answer :total period revenue/(number of available seats x hours of seat
availability)
Quiz :GOPPAR= - Answer :(total revenue - M.C.E.)/ total available rooms
