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HMGT-2870- HOTEL OPERATIONS EXAM
QUESTIONS WITH CORRECT ANSWERS
"What is another name for a management company that operates hotels for a fee? - CORRECT
ANSWER Contract company"
"Which is a revenue center in a hotel? - CORRECT ANSWER Front office department"
"Which is a cost center in a lodging operation? - CORRECT ANSWER Human resources
department"
"How is "market share" typically determined in the lodging industry? - CORRECT ANSWER
By the percentage of dollars spent" "A hotel had 353 rooms available for sale on a Saturday night. The hotel sold 300 rooms that night.
What was the hotel's occupancy % for that Saturday? - CORRECT ANSWER 85.0%"
"A guest's perception of the relationship between what was paid for a hospitality product or
service relative to what was received for the payment is called? - CORRECT ANSWER value."
"When is the ideal time to address service-related concerns of a guest with the goal of identifying
problems and resolving them? - CORRECT ANSWER While the guest is still on the property."
"The term FF&E refers to furniture, fixtures and - CORRECT ANSWER equipment."
"Which area of management most requires GMs to work with their hotels' accounting staff? -
CORRECT ANSWER Controlling/Evaluating"
"Who would most likely assign a hotel its quality inspection score? - CORRECT ANSWER The
hotel's brand managers" "Which management processes directly relates to arranging and deploying resources in ways
that most efficiently achieve a hotel's goals? - CORRECT ANSWER Organizing"
"Attendance at association-sponsored trade shows allows GMs to interact with potential -
CORRECT ANSWER vendors."
"The primary purpose of professional certification in the hospitality industry is to - CORRECT
ANSWER demonstrate competency."
"Human relations in business refers to the skills needed to understand and effectively -
CORRECT ANSWER interact with other people."
"The ability to forecast future demand for guest rooms is an example of a GM's - CORRECT
ANSWER technical skills."
"The hospitality industry is labor intensive. That means that businesses in the industry -
CORRECT ANSWER require many competent staff members to operate properly."
"One task of general managers is to improve quality while, at the same time, - CORRECT
ANSWER increasing productivity."
"At what age are workers protected from discrimination because of the provisions of the Age
Discrimination in Employment Act? - CORRECT ANSWER 40"
"Which would be a legitimate BOQ for the job of a cocktail waitress? - CORRECT ANSWER
Being of legal age to serve alcohol"
"What is the formula used to calculate business profits? - CORRECT ANSWER Revenue (-)
Expenses = Profits"
"What is the name of the accounting procedures suggested for use in the hotel industry? -
CORRECT ANSWER USALI"
"What is the purpose of GAAP? - CORRECT ANSWER Ensure uniformity"
") Last night a hotel sold 185 rooms and achieved an ADR of $175. What was the amount of rooms
revenue achieved by the hotel last night? - CORRECT ANSWER 32,375"
"Who manages a hotel's central reservation system (CRS)? - CORRECT ANSWER Hotel
franchisor"
"Which maintenance tasks performed by a POM department involve the daily cleaning of the lint
traps in dryers used in a hotel's OPL? - CORRECT ANSWER Preventive"
"GMs must be most concerned with indemnification-related issues when - CORRECT
ANSWER outside vendors, rather than POM staff, are used to provide services."
"For which POM activity would it be most important for a hotel to document its routine
maintenance efforts? - CORRECT ANSWER Exercise equipment"
"Which utility cost is typically greatest for hotels? - CORRECT ANSWER Electricity"
"For what types of equipment would seasonal PM programs be most important? - CORRECT
ANSWER HVAC"
"Which type of light producing lamps requires special disposal methods because they contain
trace amounts of mercury? - CORRECT ANSWER CFLs"
"What is an energy sensitive, but effective for cleaning, setting for hot water temperatures to be
used in a hotel's OPL? - CORRECT ANSWER 120° Fahrenheit (49° Celsius)"
“Which segment of the tourism industry includes lodging operations? - CORRECT ANSWER
Hospitality" "Which type of lodging operation offers its guests sleeping rooms, meeting space and complete
food and beverage services? - CORRECT ANSWER Full-service"
"About what percentage of hotel guests travel for pleasure, rather than travelling for business? -
CORRECT ANSWER 59%"
"Which lodging industry characteristic recognizes the fact that, if a guest room is not rented on a specific day, the room revenue that would have been achieved for that room, on that day, is lost
forever? - CORRECT ANSWER Perishability"
"Which lodging industry characteristic recognizes the fact that a hotel's ability to attract and retain qualified staff members who consistently deliver excellent service is a key to the success or
failure of a hotel? - CORRECT ANSWER Labor intensive"
"Which is the act of granting employees the authority (power) to make key decisions within their
areas of responsibility? - CORRECT ANSWER Empowering"
"To best anticipate and develop service delivery processes and procedures to address them
managers must consider the needs of their? - CORRECT ANSWER guests."
"As hotel guest expectations increase, hotels can typically? - CORRECT ANSWER increase
their prices."
"A 150-room hotel employs 30 workers. What is this hotel's employee to guest ratio? - CORRECT
ANSWER 1:5"
"Which is the initial step hotel managers take in developing and implementing a quality service
system in a hotel? - CORRECT ANSWER Consider the guest being served"
"When they engage in bench-marking hotel managers seek to find - CORRECT ANSWER best
industry practices."
"Word-of-mouth advertising originates from a hotel's? - CORRECT ANSWER guests."
""Employer of choice" refers to the concept that a hotel is the preferred place of employment in
the community for applicants? - CORRECT ANSWER who have alternative employment
opportunities."
"Which is a contemporary, rather than a traditional, managerial approach or viewpoint? -
CORRECT ANSWER Empowerment of workers"
"Which describes how hotel employees are intended to act? - CORRECT ANSWER Core
values" "GMs demonstrate a lack of managerial ability or reflect unrealistic expectations on the part of
the hotel's ownership when they - CORRECT ANSWER work an excessive number of hours
per week."
"Which is an example of a GM's positive interactions with hotel employees? - CORRECT
ANSWER Mentoring younger workers"
"Which is an example of horizontal communication? - CORRECT ANSWER A department
head talks to another department head."
"The best GM s provide their employees with direction and control - CORRECT ANSWER only
when needed." "Which positions are filled by employees who are technical specialists that provide advice to but
do not make decisions for persons in line positions? - CORRECT ANSWER Staff"
"The number of rooms of all types available for sale by a hotel is known as the hotel's -
CORRECT ANSWER rooms inventory."
"What is the formula revenue managers use to calculate their hotels' RevPAR? - CORRECT
ANSWER Occupancy % × ADR = RevPAR"
"Typically, a hotel's highest net contribution will be achieved when reservations are booked -
CORRECT ANSWER on the GDS."
"What is the denominator in the formula revenue managers use to calculate GOPAR? -
CORRECT ANSWER Total rooms available to be sold"
"What is another term commonly used in the hotel industry to describe revenue management? -
CORRECT ANSWER Yield management"
"A hotel received a room reservation for $200 from one of its distribution channels. The reservation fees to be paid for the reservation are 20%. What will be the Net ADR yield on this
reservation? - CORRECT ANSWER 80%"
"Who most often negotiates sales contracts on behalf of a hotel? - CORRECT ANSWER DOSM"
"What is the primary goal of a local chamber of commerce? - CORRECT ANSWER Advance
business interests in the community."
"How are CVBs funded? - CORRECT ANSWER Hotel occupancy taxes"
"Lawrence, a sales manager, has been assigned by his DOSM to work the SMERF market. As a
result, Lawrence will primarily be working with - CORRECT ANSWER group markets."
"A travel agency that interacts with its customers only, or primarily, via the Internet is known in
the lodging industry as - CORRECT ANSWER an OTA."
"What is always true when a hotel has a RevPAR index above 100? - CORRECT ANSWER The
hotel is out performing its competitive set." "The STAR report for a manager's hotel indicates that last month the hotel achieved an ADR Index of 110. The manager's competitive set achieved an ADR of $180. What was the ADR of the
manager's hotel last month? - CORRECT ANSWER Between $190 and $199"
"The situation in which all of a hotel's rooms are sold or oversold is referred to as a - CORRECT
ANSWER sell-out."
"A hotel has 400 rooms available to sell on Monday night. The hotel forecasts 360 rooms will be
sold that night. What is the hotel's occupancy forecast for Monday night? - CORRECT
ANSWER 90%"
"A hotel has 500 rooms available for sale. For Monday night the hotel's occupancy forecast is
60%. What is the number of rooms the hotel has available to sell for Monday night? - CORRECT
ANSWER 200"
"On which date would a hotel release rooms that have not been picked up from a group block? -
CORRECT ANSWER Cut-off date"
"What forms the legal contract between a hotel and its arriving guests? - CORRECT ANSWER
Registration card" "A caller to a hotel's front desk asks if a specific guest is staying in the hotel. The desk agent
answering the call should - CORRECT ANSWER provide no information about the guest."
"A guest who must be walked is always one who - CORRECT ANSWER has a confirmed
reservation." "Who would be most responsible for maintaining the security of a hotel's back-office accounting
systems? - CORRECT ANSWER Controller"
"Proper guest accounting begins with assigning guests to the room types they have reserved and
CORRECT ANSWER at the rate indicated on the guest's reservation."
"What is the purpose of a bucket check? - CORRECT ANSWER Verify the accuracy of guest
registration information" "What is the accepted industry term hotel professionals use to identify those housekeepers who
are assigned guest room cleaning duties? - CORRECT ANSWER Room attendants"
"When should room inspectors perform their tasks? - CORRECT ANSWER Prior to updating
room status in the hotel's PMS"
"What is true about a hotel's material safety data sheets? - CORRECT ANSWER Their use is
mandatory"
"At what age will a hotel building first need minor renovation as well as refurbishment? -
CORRECT ANSWER 8-15 years"