Unformatted text preview: nights. The agent gets a 10% kickback for the booking per day. In addition, she pays $8 per day for internet connection and drinks two bottles of vodka from the minibar each night at a cost of $7 each (the cost to the hotel for each is $1 and $2 respectively). The transaction cost for the booking is $10, and the cost to the hotel of upkeep of the room is $6 per day. Compute the incremental cost, ancillary contribution, and net contribution for the hotel. 6. Suppose the initial booking limits for 5 classes are 100, 73, 12, 4, and 0. Update the booking limits (and state whether to accept or reject for the following sequence of requests) a. 2 seats in Class 5 b. 5 seats in Class 2 c. 1 seat in Class 2 d. 1 seat in Class 4 e. 3 seats in Class 3 f. 4 seats in Class 3 g. 2 seats in Class 3 h. 4 seats in class 3...
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 Spring '08
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 Economics, Normal Distribution, Standard Deviation, Transaction cost, Chain Economics Homework

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