Marriot Hotel, a public listed company owns a chain of hotels and resorts throughout Malaysia. The company has appointed you to value one of its hotels for the purpose of securities commission.

The tenure is freehold, built on a 20,000 sq. metre site. The building is of high-quality construction and finishes, with stylish designed rooms and luxurious suites. Facilities provided include a swimming pool, fitness centre, tennis court and spa.

The Hotel Management has furnished you the following information:

Average occupancy for the past three years is as follows:

Weekends: 85%
Weekdays: 53%

An analysis of trading operations for the past three years revealed the following:

1. Determine the gross income of the hotel

2. List out FIVE (5) operating expenditure of the hotel.

3. Explain TWO (2) disadvantages of profit method