calculate the room to be charged per day 568933

Staff salary Rs 60,000 per annum

Room attendant’s salary is Rs 6 per day.

Room attendants are needed only when the room is occupied. There is one room attendant per room.

Normal lighting expenses for a room for a month is Rs 60

Power is used only in winter and normal charge per month when occupied for a room is Rs 30

Repairs to building Rs 12,000 per annum

Linen and cleaning

Rs 5,200 p.a.

Other expenses

Rs 4,800 p.a.

Interior decoration

Rs 12,000 p.a.

Cost of building

Rs 4,20,000

Rate of depreciation

10%

Other equipments

Rs 1,40,000

Depreciation

10%

Investment

Rs 10,00,000 interest 10%

There are 100 rooms in the hotel.

70% of the room are normally occupied in summer.

70% of the room are normally occupied in winter.

Winter and summer are of six months each.

Normal days in a month is 30

Profit to be earned

25% on cost