Variable costs

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Structure of the costs groups

In your operating review there is on the costs side, three major groups of costs.

As you can see in this example above which shows the operating review of a demo team after for year:

• the fixed costs have stayed the same during all four years, the fixed depreciation costs is one of them.
• the variable costs depend on the occupancy rate like laundry: the more rooms occupied the more laundry.
• the costs teamdecisions, well depend of course on the decisions the team took during the years.

More on this in Operating review.

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Emerald Forest Hotel offering an emerald hotel experience! | Run your own hotel in this management simulation.