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lets see this life example our hotel total rooms is 150 and we are bidding total room revenue 14,000 and our rooms sold 80 rooms so how do we calculate the occupancy as we have just said that the occupancy formula is the total room sold divided by total available rooms so we are getting our expense e of 53.3% what about ADR the ADR calculation is total rooms soul revenue divided by the total rooms sold so our EDR is 175 the ref par has two ways to calculate it one is the ADR multiply the occupancy and we have it ad 93.3 and the other way is the total room revenue divided by our total available rooms we are getting it the same 93.3 as we have just said that the ref par is an indicator of the revenue if we say that our total room revenue is 16,000 instead of 14 so we see the increase in the idea and the ADR and the ref bar as well so its revenue indicator if we have the same revenue and we are selling more rooms for example 90 rooms Bart will not change because we have the same breathin
