Traditional Culture Encyclopedia - Hotel franchise - Is the loan interest of working capital included in the hotel GOP?
Is the loan interest of working capital included in the hotel GOP?
Total operating profit of the hotel (GOP)= total operating income of the hotel-total operating expenses of the hotel.
The total operating income of the hotel is the income generated by the daily activities of the hotel such as selling goods, providing services and transferring the right to use assets in each fiscal year. Including rooms, restaurants, entertainment, shopping malls, business centers, other income, etc.
The total operating expenses of the hotel are the expenses incurred in the process of selling goods and providing services, as well as the daily expenses incurred by non-operating departments.
The loan interest of working capital belongs to the expenses arising from normal operation and should be included in the hotel GOP.
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