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Cost Per Occupied Room Calculator

Formula

To calculate the cost per occupied room:

$CPOR = \frac{C}{OR}$

Where:

$CPOR$ is the Cost Per Occupied Room ($/room)
$C$ is the Total Cost to Run the Hotel/Apartment Complex ($)
$OR$ is the Number of Occupied Rooms

What is Cost Per Occupied Room?

Cost per occupied room is a term used in finance and real estate to describe the cost it takes to run a hotel or apartment complex per occupied room. Knowing this information can then be used to calculate the profit per room if the revenue per room is known. This measure helps in understanding the efficiency and profitability of the operation of the building.

Example Calculation

Let's assume the following values:

Total Cost ( $C$ ) = $50,000
Number of Occupied Rooms ( $OR$ ) = 100 rooms

Using the formula:

$CPOR = \frac{50000}{100} = 500 \text{ dollars per room}$

The cost per occupied room is $500 per room.