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### GMAT/MBA Expert

Whitney Garner GMAT Instructor
Joined
21 Sep 2010
Posted:
273 messages
Followed by:
74 members
154
GMAT Score:
770
Thu Jan 03, 2013 8:01 pm
Hi SirSriracha!

I can definitely see how the language can be confusing, particularly when we're not sure if the question requires new assumptions! When in doubt, I would say that we want to avoid making new assumptions, particularly those that require additional calculations (like doubling the price of the hotel to each person). If we just go with the passage assumption of double occupancy but determine the PER PERSON price, we can show that in the case of FFNA, there is a cost savings by employing the ROB method. Let's see why:

Typical = Discount Registration + Block Rate
ROB = Registration + Lowest Rate

CC: Typical (620+110=730), ROB (720+70=790) NO, ROB is More expensive!
FFNA: Typical (275+140=415), ROB (325+70=395) YES, ROB is a cost savings!
HMHPA: Typical (575+104=679), ROB (600+79=679) NO, ROB is the SAME price!

And it is actually this last example that makes me feel more confident that we did the correct calculation - looks like the GMAT designed one of the answers to be an exact breakeven!!

Hope this helps!

Whit

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Whitney Garner
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