BROWSE

Day Rate

What is 'Day Rate'

The price/cost of a particular service for a day's period. In some markets it is referred to as "per diem" (cost that an organization will pay for one days' work) and often translates to a 7.5 hour work day. Some purchasing organizations prefer a quoted day rate instead of an hourly rate for services.

Explaining 'Day Rate'

Common examples of a day rate would be:

- the rate of pay for a day's manual labor by a worker
- the price for a hotel room when no overnight stay is required/utilized
- the quoted price for contractor work done onsite for a client


Further Reading


Tracking the Libor rate
www.tandfonline.com [PDF]
… track the Libor, we analyse the empirical frequencies of the SDs of the daily 1-month … A lower Libor induces a lower mortgage rate, makes it easier to buy homes, substituting … in data collection by Susan Press and support from the Giannini Foundation of Agricultural Economics …

Interbank payments and the daily federal funds rateInterbank payments and the daily federal funds rate
www.sciencedirect.com [PDF]
… track the Libor, we analyse the empirical frequencies of the SDs of the daily 1-month … A lower Libor induces a lower mortgage rate, makes it easier to buy homes, substituting … in data collection by Susan Press and support from the Giannini Foundation of Agricultural Economics …

Intra-day and inter-market volatility in foreign exchange ratesIntra-day and inter-market volatility in foreign exchange rates
academic.oup.com [PDF]
… track the Libor, we analyse the empirical frequencies of the SDs of the daily 1-month … A lower Libor induces a lower mortgage rate, makes it easier to buy homes, substituting … in data collection by Susan Press and support from the Giannini Foundation of Agricultural Economics …

The economics of exchange rate volatility asymmetryThe economics of exchange rate volatility asymmetry
onlinelibrary.wiley.com [PDF]
… track the Libor, we analyse the empirical frequencies of the SDs of the daily 1-month … A lower Libor induces a lower mortgage rate, makes it easier to buy homes, substituting … in data collection by Susan Press and support from the Giannini Foundation of Agricultural Economics …

Long run trends and volatility spillovers in daily exchange ratesLong run trends and volatility spillovers in daily exchange rates
www.tandfonline.com [PDF]
… track the Libor, we analyse the empirical frequencies of the SDs of the daily 1-month … A lower Libor induces a lower mortgage rate, makes it easier to buy homes, substituting … in data collection by Susan Press and support from the Giannini Foundation of Agricultural Economics …

The distribution of realized exchange rate volatilityThe distribution of realized exchange rate volatility
www.tandfonline.com [PDF]
… track the Libor, we analyse the empirical frequencies of the SDs of the daily 1-month … A lower Libor induces a lower mortgage rate, makes it easier to buy homes, substituting … in data collection by Susan Press and support from the Giannini Foundation of Agricultural Economics …

Skewness in the conditional distribution of daily equity returnsSkewness in the conditional distribution of daily equity returns
www.tandfonline.com [PDF]
… track the Libor, we analyse the empirical frequencies of the SDs of the daily 1-month … A lower Libor induces a lower mortgage rate, makes it easier to buy homes, substituting … in data collection by Susan Press and support from the Giannini Foundation of Agricultural Economics …

Fear and greed in financial markets: A clinical study of day-tradersFear and greed in financial markets: A clinical study of day-traders
pubs.aeaweb.org [PDF]
… track the Libor, we analyse the empirical frequencies of the SDs of the daily 1-month … A lower Libor induces a lower mortgage rate, makes it easier to buy homes, substituting … in data collection by Susan Press and support from the Giannini Foundation of Agricultural Economics …

Financial markets in times of stressFinancial markets in times of stress
www.sciencedirect.com [PDF]
… track the Libor, we analyse the empirical frequencies of the SDs of the daily 1-month … A lower Libor induces a lower mortgage rate, makes it easier to buy homes, substituting … in data collection by Susan Press and support from the Giannini Foundation of Agricultural Economics …



Q&A About Day Rate


What is a day rate?

A day rate is the price of a particular service for a day's period.

How does one calculate a day rate?

It depends on what type of organization you're working with. If you're in construction, it's based off how much time it takes to complete your job. If you're in sales, it's based off how many calls or appointments you make during that time frame. In both cases, there are different ways to calculate this number depending on your industry and company standards.

What does ADR represent?

The number represents the average rental income per occupied room in a given time period.

What is the definition of ADR?

ADR stands for average daily rate.

Who uses this calculation?

Hotel owners and managers use this calculation to determine how well their hotels are performing compared to others in their industry.

What are some examples of common day rates?

Some examples include the rate of pay for manual labor, the price for hotel rooms when no overnight stay is required and the quoted price for contractor work done onsite for a client.

How is ADR calculated?

It is calculated by dividing rooms revenue earned by the number of rooms sold, with house use and complimentary rooms excluded from the denominators.