THH3113: Cost and Performance Management for Tourism and Hospitality - Management Assignment Help

Assignment Task:

Assessment Task: 
You are the RM at Purple Resorts. Jenny is the property's DOSM and Danny is the FOM. All three serve on the hotel's RM boards committee headed by the DOSM. The hotel has 125 rooms that it can serve provide to the customer per night stay. Last year records show that the hotel usually has 92% occupancy for the New year holiday season from 28th December till 2nd January every year. The rooms are to sell at a rack rate of $129.99 per night. 
Danny has been approached by the Australian Cricket Association to block 100 rooms (80% occupancy) every day from 28th December till 2nd January for $109.99 per room. Purple Resorts Australia RM Committee are planning to find out whether Danny's offer would be beneficial or should they open for business, as usual, to operate with the forecasted 92% occupancy. The RM committee requires you to differentiate explain which of their costs are fixed and variable and any recommendations to change from the variable to fixed costs or would that be better to stay as variable costs according to the cost behaviour and driver. 

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