There has been a multitude of research on service recovery and various facets of recovery. Some of this work relates the facets to outcome variables such as satisfaction and intent to return but no research has been found that quantifies what that impact on satisfaction or intent to return converts to in financial terms. This work presents two formulas for calculating the dollar cost/benefit of service recovery efforts. The ability to utilize these formulas can help organizations better assess service recovery initiatives. Key words: hotels, service quality, service recovery, revenue recovery, intent to return.