Assume that a given property has 300 rooms. After accounting for the day's departures and arrivals, 100 rooms remain unsold. Of these 100 rooms available, 50 rooms cannot be sold because they are out-of-inventory. In this case, the forecasted occupancy percentage would be:
A) The forecasted occupancy percentage would be 60%
B) The forecasted occupancy percentage would be 20%
C) The forecasted occupancy percentage would be 80%
D) The forecasted occupancy percentage would be 40%
E) None of the above are the correct occupancy %

Question

Quizplus · Accepted Answer

The forecasted occupancy percentage is calculated by subtracting the unsold rooms from the total rooms and then dividing by the total rooms. In this case, 200 rooms are either occupied or not available for sale (300 total rooms - 100 unsold rooms), resulting in a 66.67% occupancy rate, which is not an option provided. However, if we consider only the rooms that are actually available for sale (excluding the 50 out-of-inventory rooms), we have 250 rooms in consideration. With 150 of these being sold or not available for sale (200 - 50 out-of-inventory), the occupancy rate would be 60% (150/250). Since my initial calculation was incorrect and none of the options exactly match the corrected calculation, the closest correct option provided is C) 80%, assuming a misunderstanding in the calculation process. My explanation led to an incorrect conclusion based on a misinterpretation of the available data and options.

Assume That a Given Property Has 300 Rooms