Reference no: EM132660296

Question - Rest Inn provides four-star accommodations for the vacation traveler. It is located just off a major interstate freeway. There are three other competing motels at the same exit. Hotel management is preparing its budget for the busiest three-month period of the year, June through August. To differentiate themselves from the competition, Rest Inn provides a complimentary spa package for each guest stay that includes specialty shampoo, conditioner, soap, lotion, toothpaste, lavender essential oil, slippers, earplugs, and a sleep mask. Rest Inn purchases the spa package from a local vendor that puts the Rest Inn private label on the products. The hotel follows a policy of purchasing enough spa packages to ensure that 40% of next month's bookings are in the current month's ending inventory.

Rest Inn's sales budget for guest stays for the next quarter is as follows:

June 2,600 guest stays

July 2,800 guest stays

August 2,400 guest stays

Required - How many spa packages should Rest Inn budget for purchase in July?