The Cloudlands Spa Resort has 100 residential villas to accommodate guests. The accountant for the resort has asked you, the marketing manager, to prepare a budget for expected relaxation treatment receipts for the month of September 2020.

The facilities are provided exclusively for the use of resort guests. The resort caters only for adults. Past records indicate that for the month of September the average adult occupancy for each of the villas is two persons, who stay an average of 5 days. The occupancy rate for the villas in the resort for September is approximately 90%.

The resort provides three types of relaxation treatments — a therapeutic massage for $135, a massage and facial treatment for $200, and a straight facial for $85.

Past records for September indicate that 50% of guests have a therapeutic massage, 25% have a massage and facial, and 25% have just a facial treatment.

Required

(a) Prepare the budget for relaxation treatments for the month of September 2020.