Trisha Metzger purchased Casa del Sol, an 85-room full-service hotel on the Pacific coast in…
Trisha Metzger purchased Casa del Sol, an 85‐room full‐service hotel on the Pacific coast in Nicaragua, in 20×1. She then felt that she was ahead of her time when she made the purchase and now she is convinced of it. As more tourists discover the San Juan Del Sur area and its low‐cost vacation benefits, Trisha’s business is booming.
Now as she begins fiscal year 20×5, she wants to secure a bank loan to double the size of her property, and she needs to project her sales forward for the next three years to meet the bank’s loan submission requirements.
Help Trisha predict her sales for each of the coming three fiscal years using trend line analysis.
a. Create a line graph of sales for the Casa del Sol for FY 20×1 through FY 20×4.
b. Add a trend line (from 20×5 through 20×7) to Trisha’s sales line graph.
c. If you were a bank, would you likely give Trisha the loan? Why or why not?