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RDM710S - ROOMS DIVISION MANAGEMENT - 1ST OPP - JUNE 2025 |
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nAm I BI A u n IVE RS ITV
OF SCIEnCE Ano TECHnOLOGY
FACULTY OF COMMERCE, HUMAN SCIENCESAND EDUCATION
DEPARTMENT OF HOSPITALITY & TOURISM
QUALIFICATION: BACHELOR OF HOSPITALITY MANAGEMENT
QUALIFICATION CODE: 07 BHMN
LEVEL: 7
COURSE CODE: RDM710S
COURSE NAME: ROOMS DIVISION MANAGEMENT
SESSION: JUNE 2025
DURATION: 2 HOURS
PAPER:1
MARKS: 100
EXAMINER(S):
MODERATOR:
FIRST OPPORTUNITY EXAMINATION
MR. G. CLOETE
MRS. C. SUNDE
1.Answer ALL the questions.
2.Write clearly and neatly.
3.Number the answers clearly.
INSTRUCTIONS
THIS PAPER CONSISTS OF_ 4_ PAGES (Including front page)
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Question 1
What do you understand by the following term, "Cost Based Pricing"? Discuss and offer clear
examples in Hospitality!
(8)
Question 2
Seasonal Pricing plays a crucial role in Hospitality Room Sales. Discuss seasonal pricing: How it
works, factors affecting and why Hotels are using seasonal Pricing.
(8)
Question 3
Differential Pricing is a vital strategy used in Hotels. Discuss Differential Strategy in Hotels
and provide clear examples where possible.
(8)
Questions 4
Tabulate the differences between BAR, OTA and STO rates under the following headings.
Definition, Pricing Structure, Booking Source, Flexibility, Cancellation Policy, Rate,
Transparency, Commission Fees, Availability and Target Audience.
{10)
Question 5
Briefly, discuss Yield Management in Hospitality with reference to Revenue.
(8)
Question 6
Briefly discuss the roles of a Room Division Manager.
(8)
Question 7
Discuss the factors you would consider very important in Forecasting Rooms Revenue.
(4x2=8)
Question 8
Critically evaluate inclusive and non-inclusive rates under tariffs and considerations that
hoteliers would consider when choosing which type of rate to select for their establishment.
(8)
Question 9
The General Manager of the Movenpick & Mercure in Windhoek, Namibia tasked you with the
assignment to consider targeting conference groups. Analyze the factors you as the Rooms
Division Manager would consider?
(8)
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Question 10
The Sales & Marketing Analysis of The Boutique Training Hotel has reflected that over the last
six months the Hotel's Occupancy over weekends were always lower than during the week.
As the newly employed Rooms Division Manager of the unit what strategies would you
consider to increase occupancies over weekends? Provide clear examples in Hospitality.
{8)
Question 11
Discuss the factors influencing the standard time required for a "Spring-Cleaning Job" in the
Hospitality and Tourism Industry.
(8)
Question 12
Calculate the Average Room Rate:
{10)
The Golden Kettle Hotel, a 200 Room Hotel, is projected to cost N9 900,000. inclusive of land,
buildings, equipment, and furniture. An additional N$ 100 000. is needed for working capital.
The Hotel is financed with a loan of N$ 7 500,000. at 12 % annual interest with the owners
providing cash of N$ 2 500,000. The owners desire a 15% annual return on their investment. A
75 % occupancy is estimated: Thus, 54 750 rooms will be sold during the year. The income tax is
40%
Additional expenses are .estimated as follows:
Property Taxes
250 000
Insurance
50 000
Depreciation
300 000
Admin & Gen
300 000
Data Processing
120 000
Human Resources
Transportation
Marketing Expenses
80 000
40 000
200 000
Prop Ops & Maint.
Energy Costs
200 000
300 000
Other operating departments income or losses are estimated as follows F&B150
000, Tel, {50 000) Rentals, 100 000. Rooms Department Direct expenses are N$10.00
per room sold.
Calculation Follows:
Des Net Inc {Own Inv x roi)
2.5 mill x .15 =
(1)
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Pretax income = net income =
{1)
1-.4
Interest Expense =Principal x i/rate
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x time = Int. expense
Income b4 interest & taxes
Estimated Dep, Prop. Taxes & Ins
Income b4 fixed charges
Undistributed Operating Expenses
Required Operating Depts. Income
Dept Results excl. Rooms
Less: Food & Bev. Income
Rental & Other Income
Plus: Tel. Dept Loss
Rooms Department Income
Rooms Dept Direct Expense
(54,750 X N$ 10 .00 = )
Rooms Revenue
Required average Room Rate
{1 x USA= 18 N$)
GOOD LUCK!!
600 000
(............)..
( ..........)..
./. 54,750
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(1)
(1)
(1)
(1)
(1)
(1)
(1)
(1)
(10)
[100)
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