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Question: grand garden is a luxury hotel with 160 sultes its...

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Grand Garden is a luxury hotel with 160 sultes. Its regular sulte rate is $230 per night per sulte. The hotels cost per night is $155 per sulte and consists of the following $ 54 101 Variable direct labor and materials cost Pixed cost $5,870,000/10 suites) 35 days] Tosal eos per night pezsuite The hotel manager recelved an offer to hold the local Bikers Club annual meeting at the hotel In March, which is the hotels low season with an occupancy rate of under 60%. The Bikers Club would reserve 40 suites for three nights if the hotel could offer a 60% discount, or a rate of $92 per night. The hotel manager is Inclined to reject the offer because the cost per sulte per night is $155. Required: Prepare an analysis of this offer for the hotel manager. Contribution margin analysis

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