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We always get a few extras in the extended family - like an aunt’s mother in law who would be alone otherwise, or friends visiting from overseas and it’s never been a problem. However, everyone brings food and if there is a secret Santa the person bringing them brings extra gifts for their guests. We also take turns hosting, so it always seems to work out.
I wouldn't. I get sick of being left with all the work Why wood i want to pick up after extras i don't know
Are they inviting people you don't know? Is that the problem?
Ask them to contribute food and drink to help make up for it, and if you do secret Santa, they are responsible for that too.
That is downright rude!! Surely people aren't that rude?!!!
If it was me I'd withdraw their invitation for being disrespectful.