# Hotel Rooms In Radnor Pa Go For 100 A Day And 1 000 Rooms Are Rented Per Day To

Hotel Rooms in Radnor, PA go for \$100 a day and 1,000 rooms are rented per day. To raise revenue, the Township Manager decides to charge a hotel tax of \$10 per rented room. After the tax is imposed, the going rate for a hotel room is \$108 ( the hotel decides to become efficient and not pass on the entire tax to the customer) and the number of rooms rented falls to 900.Calculate: The amount of revenue this tax raises for Radnor.The Township Manager then decides to double the tax to \$20 per room. The hotel now charges \$116 per room and the number of rentals per day falls to 800. Calculate: The amount of revenue this tax raises at the price of \$116 per room. Does the tax double the revenue, more than double or less than double in the second example.

Hotel Rooms in Radnor, PA go for \$100 a day and 1,000 rooms are rented per day. Toraise revenue, the Township Manager decides to charge a hotel tax of \$10 per rentedroom. After the tax is…