HFT Revenue Management Final Exam
Questions With Accurate Solutions 2025\2026
A+ Grade.
What is the industry term used to describe the sum of prices paid by a
business's customers?
- accurate answers-Total Revenues
Historically, what concept have hospitality managers chiefly used to calculate
their selling prices?
- accurate answers-Costs
What is an algebraic equivalent of the formula: Sales = Costs + Profit?
- accurate answers-Profit = Sales - Costs
What is the name for the net value achieved by both parties in a business
transaction?
- accurate answers-Profit
What element is not present in a barter economy?
- accurate answers-Money
What is the formula used to calculate an owner's ROI?
- accurate answers-Owner's Investment Return / Owner's Original Investment
= Owner's Return on Investment
Sandy has 100 hotel rooms to sell. This Saturday night has enough customers
to sell 125 rooms so she will be refusing 25 requests for rooms. What is this
an example of?
- accurate answers-Constrained Supply
Which industry was the first to use Yield Management principles?
- accurate answers-Airline
What is the industry term used to describe the selling of rooms which are not
actually available for sale?
- accurate answers-Overbooking
,What is the formula used to calculate Average Daily Rate?
- accurate answers-Total Room's Revenue / Total Rooms Sold = Average Daily
Rate
Tashia's hotel sold 175 rooms last night at an ADR of $200.00. Her hotel has
250 rooms. What was Tashia's occupancy % last night?
- accurate answers-70%
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?
- accurate answers-$140.00
What is the industry term for the average revenue generated by each occupied
guestroom during a defined period of time?
- accurate answers-RevPOR
What is the formula used to calculate GOPPAR?
- accurate answers-(Total Revenue - Management Controllable Expenses) /
Rooms Available to Sell = GOPPAR
What is the industry term for a customer group which can be readily
identified by one or more common characteristics?
- accurate answers-Market Segment
What is rack rate?
- accurate answers-The price of rooms when no discounts of any type are
offered
What is:
Total period revenue
(Number of available seats) x (hours of seat availability)
- accurate answers-The formula for RevPASH
What is the term used to identify a management philosophy that places
customer gain ahead of short-term revenue maximization in revenue
management decision making?
- accurate answers-Customer-centric revenue management
, What is the term used to describe the potential customers to whom a
business's marketing activities and messages are directed?
- accurate answers-The target market
What is the term used to describe efforts undertaken to encourage travel and
tourism to a specific geographic area or attraction?
- accurate answers-Destination Marketing
What is the name for the value given up by a buyer and a seller in a business
transaction?
- accurate answers-Price
Charging guests for watching a "Pay-Per-View" movie in their hotel guestroom
is an example of what type of pricing?
- accurate answers-Two-tiered pricing
What is the fundamental assumption upon which the concept of consumer
rationality is based?
- accurate answers-Buyers act in ways that are of personal benefit to them
What is the revenue management term used to describe the perceived benefit
gained, minus the price paid, in a business transaction?
- accurate answers-Value
What is created when a seller communicates to a buyer a description of a
product to be sold and the price at which that product will be sold?
- accurate answers-A value proposition
Which one of the following terms is not one of the 4 Ps of the Marketing Mix?
- accurate answers-Proposition
Which of the following terms would be included in the Place portion of a
hotel's marketing mix?
- accurate answers-Distribution Channels
What is the fundamental assumption upon which the Law of Supply is based?
- accurate answers-The higher the demand for a product the more of it will be
produced by sellers
Questions With Accurate Solutions 2025\2026
A+ Grade.
What is the industry term used to describe the sum of prices paid by a
business's customers?
- accurate answers-Total Revenues
Historically, what concept have hospitality managers chiefly used to calculate
their selling prices?
- accurate answers-Costs
What is an algebraic equivalent of the formula: Sales = Costs + Profit?
- accurate answers-Profit = Sales - Costs
What is the name for the net value achieved by both parties in a business
transaction?
- accurate answers-Profit
What element is not present in a barter economy?
- accurate answers-Money
What is the formula used to calculate an owner's ROI?
- accurate answers-Owner's Investment Return / Owner's Original Investment
= Owner's Return on Investment
Sandy has 100 hotel rooms to sell. This Saturday night has enough customers
to sell 125 rooms so she will be refusing 25 requests for rooms. What is this
an example of?
- accurate answers-Constrained Supply
Which industry was the first to use Yield Management principles?
- accurate answers-Airline
What is the industry term used to describe the selling of rooms which are not
actually available for sale?
- accurate answers-Overbooking
,What is the formula used to calculate Average Daily Rate?
- accurate answers-Total Room's Revenue / Total Rooms Sold = Average Daily
Rate
Tashia's hotel sold 175 rooms last night at an ADR of $200.00. Her hotel has
250 rooms. What was Tashia's occupancy % last night?
- accurate answers-70%
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?
- accurate answers-$140.00
What is the industry term for the average revenue generated by each occupied
guestroom during a defined period of time?
- accurate answers-RevPOR
What is the formula used to calculate GOPPAR?
- accurate answers-(Total Revenue - Management Controllable Expenses) /
Rooms Available to Sell = GOPPAR
What is the industry term for a customer group which can be readily
identified by one or more common characteristics?
- accurate answers-Market Segment
What is rack rate?
- accurate answers-The price of rooms when no discounts of any type are
offered
What is:
Total period revenue
(Number of available seats) x (hours of seat availability)
- accurate answers-The formula for RevPASH
What is the term used to identify a management philosophy that places
customer gain ahead of short-term revenue maximization in revenue
management decision making?
- accurate answers-Customer-centric revenue management
, What is the term used to describe the potential customers to whom a
business's marketing activities and messages are directed?
- accurate answers-The target market
What is the term used to describe efforts undertaken to encourage travel and
tourism to a specific geographic area or attraction?
- accurate answers-Destination Marketing
What is the name for the value given up by a buyer and a seller in a business
transaction?
- accurate answers-Price
Charging guests for watching a "Pay-Per-View" movie in their hotel guestroom
is an example of what type of pricing?
- accurate answers-Two-tiered pricing
What is the fundamental assumption upon which the concept of consumer
rationality is based?
- accurate answers-Buyers act in ways that are of personal benefit to them
What is the revenue management term used to describe the perceived benefit
gained, minus the price paid, in a business transaction?
- accurate answers-Value
What is created when a seller communicates to a buyer a description of a
product to be sold and the price at which that product will be sold?
- accurate answers-A value proposition
Which one of the following terms is not one of the 4 Ps of the Marketing Mix?
- accurate answers-Proposition
Which of the following terms would be included in the Place portion of a
hotel's marketing mix?
- accurate answers-Distribution Channels
What is the fundamental assumption upon which the Law of Supply is based?
- accurate answers-The higher the demand for a product the more of it will be
produced by sellers
