HFT4468 Final Exam questions well
answered graded A+ passed
What is the industry term used to describe the sum of prices paid by a business's customers? -
correct answer ✔✔Total revenue
Historically, what concept have hospitality managers chiefly used to calculate their selling
prices? - correct answer ✔✔Costs
What is an algebraic equivalent of the formula: Sales = Costs + Profit? - correct answer
✔✔Profit = Sales - Costs
What is the name for the net value achieved by both parties in a business transaction? - correct
answer ✔✔Profit
What element is not present in a barter economy? - correct answer ✔✔Money
What is the formula used to calculate an owner's ROI? [Return on investment] - correct answer
✔✔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? - correct answer
✔✔Constrained supply
Which industry was the first to use Yield Management principles? - correct answer ✔✔Airline
,What is the industry term used to describe the selling of rooms which are not actually available
for sale? - correct answer ✔✔Overbooking
What is the formula used to calculate Average Daily Rate? - correct answer ✔✔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? - correct answer ✔✔70% (175/250)
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
175/250 * 200 * [Occupancy Rate * ADR]
What is the industry term for the average revenue generated by each occupied guestroom
during a defined period of time? - correct answer ✔✔RevPOR
[Revenue per occupied room = Total Revenue / Total Occupied Rooms]
Total Revenue = Accommodation + Breakfast + Spa + Bar + Mini Bar +[Any other extra revenue]
What is the formula used to calculate GOPPAR? - correct answer ✔✔(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? - correct answer ✔✔Market segment
What is a rack rate? - correct answer ✔✔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) - correct
answer ✔✔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? - correct answer
✔✔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? - correct answer ✔✔The target market
What is the term used to describe efforts undertaken to encourage travel and tourism to a
specific geographic area or attraction? - correct answer ✔✔Destination marketing
What is the name for the value given up by a buyer and a seller in a business transaction? -
correct answer ✔✔Price
Charging guests for watching a "Pay-Per-View" movie in their hotel guestroom is an example of
what type of pricing? - correct answer ✔✔Two-tiered pricing
What is the fundamental assumption upon which the concept of consumer rationality is based?
- correct answer ✔✔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? - correct answer ✔✔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? - correct answer ✔✔A value proposition
Which one of the following terms is not one of the 4 Ps of the Marketing Mix? - correct answer
✔✔Proposition
answered graded A+ passed
What is the industry term used to describe the sum of prices paid by a business's customers? -
correct answer ✔✔Total revenue
Historically, what concept have hospitality managers chiefly used to calculate their selling
prices? - correct answer ✔✔Costs
What is an algebraic equivalent of the formula: Sales = Costs + Profit? - correct answer
✔✔Profit = Sales - Costs
What is the name for the net value achieved by both parties in a business transaction? - correct
answer ✔✔Profit
What element is not present in a barter economy? - correct answer ✔✔Money
What is the formula used to calculate an owner's ROI? [Return on investment] - correct answer
✔✔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? - correct answer
✔✔Constrained supply
Which industry was the first to use Yield Management principles? - correct answer ✔✔Airline
,What is the industry term used to describe the selling of rooms which are not actually available
for sale? - correct answer ✔✔Overbooking
What is the formula used to calculate Average Daily Rate? - correct answer ✔✔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? - correct answer ✔✔70% (175/250)
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
175/250 * 200 * [Occupancy Rate * ADR]
What is the industry term for the average revenue generated by each occupied guestroom
during a defined period of time? - correct answer ✔✔RevPOR
[Revenue per occupied room = Total Revenue / Total Occupied Rooms]
Total Revenue = Accommodation + Breakfast + Spa + Bar + Mini Bar +[Any other extra revenue]
What is the formula used to calculate GOPPAR? - correct answer ✔✔(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? - correct answer ✔✔Market segment
What is a rack rate? - correct answer ✔✔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) - correct
answer ✔✔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? - correct answer
✔✔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? - correct answer ✔✔The target market
What is the term used to describe efforts undertaken to encourage travel and tourism to a
specific geographic area or attraction? - correct answer ✔✔Destination marketing
What is the name for the value given up by a buyer and a seller in a business transaction? -
correct answer ✔✔Price
Charging guests for watching a "Pay-Per-View" movie in their hotel guestroom is an example of
what type of pricing? - correct answer ✔✔Two-tiered pricing
What is the fundamental assumption upon which the concept of consumer rationality is based?
- correct answer ✔✔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? - correct answer ✔✔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? - correct answer ✔✔A value proposition
Which one of the following terms is not one of the 4 Ps of the Marketing Mix? - correct answer
✔✔Proposition
