1. Use SMA (from the revenues of the last three years), EXS (=0.8, consider a three-year average for Ft), and TMA (consider three incremental changes)

1. Use SMA (from the revenues of the last three years), EXS (α=0.8, consider a three-year average for Ft), and TMA (consider three incremental changes) to forecast the revenue in Year 8.

2. If we know that the revenue of licenses, permits and fees in Year 8 was $23,210,218, which of the above forecasting techniques is more accurate? (Compute APE for each technique)

3. Use Excel to build a regression model. Use this model to forecast the revenue of licenses, permits, and fees in Year 8. Is this a more accurate method than TMA? (Compute APE for the regression and compare)

The following table presents the historical information of licenses, permits, and fees in the city of ST.

Year	Revenues
1	13,717,979
2	14,369,907
3	15,232,768
4	16,693,711
5	17,684,099
6	18,276,037
7	20,289,136
8	?