Proper interpretation of room rates.

[RocketManJames]

A friend of mine has a place that he is renting out at $750 a week, or $125 per day.

If someone rents 2 weeks, it's clearly $1500. If someone rents 2 days, it's clearly $250.

If someone rents for 11 days, should it be $750 + 4*$125, or should it be 11/7 * $750?

-RMJ

[Perplexity]

This is a decent question. I think the charge should probably be (11/7) * $750. It sort of depends on why he's offering a discount for full week rentals.

If it's because it's kind of a hassle to arrange a rental period, so longer rentals save him time arranging more rentals, then the full 11 days should be at the lower rate.

If it's because it's at a vacation type destination, where many/most customers are going to stay for exactly one week, and tehrefore having a place available for only half of a week means that the place will probably stay empty... that would be an argument for charging $750 + 4 * $125.

[neuroman]

[ QUOTE ]
This is a decent question. I think the charge should probably be (11/7) * $750. It sort of depends on why he's offering a discount for full week rentals.

If it's because it's kind of a hassle to arrange a rental period, so longer rentals save him time arranging more rentals, then the full 11 days should be at the lower rate.

If it's because it's at a vacation type destination, where many/most customers are going to stay for exactly one week, and tehrefore having a place available for only half of a week means that the place will probably stay empty... that would be an argument for charging $750 + 4 * $125.

[/ QUOTE ]
Wow, rarely is the first response in the thread of such high quality. I agree.

[z28dreams]

750 * 11/7 is the right answer.

The idea is simply that the discount is for people that are staying extended amounts of time. Why would you charge them more for those 4 extra days?

The only exception might be if certain days of the week are higher in demand than others or if a typical "rental period" is for one week. That is, if renting out the place for those 4 days would cause him to lose out on renting it out for a full week from someone else.

[NLSoldier]

lol at everyone voting wrong and the two people who actually posted getting it right.

[Paul B.]

Yea, wtf. 8 people voted for the first option and I was the first vote for the 2nd option.

[traz]

[ QUOTE ]

The idea is simply that the discount is for people that are staying extended amounts of time. Why would you charge them more for those 4 extra days?



[/ QUOTE ]

To encourage them to stay for 2 weeks instead of 1.5

[soko]

Maybe he should make his terms easier to understand?

For example

Renting less than 7 days = X per day
Renting 7 or more days = Y per day

[RocketManJames]

[ QUOTE ]
Maybe he should make his terms easier to understand?

For example

Renting less than 7 days = X per day
Renting 7 or more days = Y per day

[/ QUOTE ]

Yes, going forward, he will be clarifying the rate schedule with additional information. He is mainly interested in what the typical person would expect to be charged for a booking of 11 days given that the rates quoted did not have any additional clarification.

-RMJ

[Jcrew]

Are two sets of weekends included during the 11 days?