I stayed at Budhil Park Hotel. I asked Dr Radha to reserve it, and the hotel staff took advantage of this. Instead of getting a room with a single bed which cost 2100 Rupees a night, the hotel chose a room which cost 2550 rupees a night for deluxe option. Also, the rooms have a fridge. It has a few drinks such as Thumbs up and some Chocolate. If you take anything from there including water they will charge you once you leave. I had to pay an extra 230 rupees. Of course coming from the West this was nothing, but the hotel tried its best to charge me as much as possible. The breakfast is complimentary. For lunch I ate at the hotel itself and one Biryani serving is good enough for 2 people. So the lunch was so heavy I didn't even feel like I needed to eat dinner.
So if you want to book at hotel try to do it by calling the hotel. Otherwise, they will try to rip you off by booking a room which cost 500 more rupees.
In the end if you are coming from the West, you will find it affordable in Vishakapatnam. The people will their best to make extra money but the dollar value will make you feel that everything is dirt cheap. A full course meal should not cost more than 300 rupees.
By the way the Hotel has an exchange bureau right across. You might get a better rate there.
I gave the Hotel $600 US dollar which came to little above 30000 rupees. They charged me 18000 rupees for the hotel and told me they will give the rest. I waited and they said we will sent the money to your room in 5 minutes. The time past and they did nothing. Then I just stood in front of the counter and said I am not going anywhere till I get my money. So they went to their restaurant and finally gave me the remaining amount. Beware of their dirty tactics. They lied so much when I request my amount immediately.