One thing I don't understand is how you predict the expected costs for June, like do you just guess a number?

Example 3: The Nick's Hotel has 100 standard rooms. The accounting records shows following monthly costs during the past 5 months: The manager expects 100% occupancy rate for June. Required: Predict the expected total costs for June. Step 1: Estimate the cost function for occupancy costs. Step 2: Using the estimated cost equation to predict the expected full occupancy cost for June