I myself get confused with the value of points/cash. Here is an example I hope to get your help on; my biggest question is am I using the correct formula?

Example: I'm planning a stay at a Country Inn at the end of June in Long Island City, NY. I can get the room for $140.00 a night or use 10,000 points and spend $84.00 for the night. That is a $56.00 a night savings. Now to calculate the value of points what should my formula be???

Do I divide 56/10000=.00056 per point which doesn't seem like a lot.

Thanks