Forecasting Restaurant Sales The C'mon Back Restaurant in Puerto Rico is owned and operated by Theotis Jones. The restaurant just completed its third year of operation. During that time, Theotis sought to establish a reputation for the restaurant as a high-quality dining establishment that specializes in fresh seafood. Through the efforts of Theotis and his staff, his restaurant has become one of the best and fastest-growing restaurants on the island. To better plan for future growth of the restaurant, Theotis needs to develop a system that will enable him to forecast food and beverage sales by month for up to one year in advance. The following table shows the value of food and beverage sales ($1,000s) for the first three years of operation (the data are also in the file \"Ch5 Forecasting\"): Managerial Report Perform an analysis of the sales data for the restaurant. Prepare a report for Theotis that summarizes your findings, forecasts, and recommendations. Include the following: 1. A time series plot. Comment on the underlying pattern in the time series. 2. Using the dummy variable approach, forecast sales for January through December of the fourth year. How would you explain this model to Theotis? Assume that January sales for the fourth year turn out to be $295,000. What was your forecast error? If this error is large, Theotis may be puzzled about the difference between your forecast and the actual sales value. What can you do to resolve his uncertainty about the forecasting procedure? Retirement Planning Tyler is 37 years old and would like to establish a retirement plan. Develop a spreadsheet model that could be used to assist Tyler with retirement planning. Your model should include the following input parameters: Tyler's current age = 37 years Tyler's current total retirement savings = $259,000 Annual rate of return on retirement savings = 4 percent Tyler's current annual salary = $145,000 Tyler's expected annual percentage increase in salary = 2 percent Tyler's percentage of annual salary contributed to retirement = 6 percent Tyler's expected age of retirement = 65 Tyler's expected annual expenses after retirement (current dollars) = $90,000 Rate of return on retirement savings after retirement = 3 percent Income tax rate postretirement = 15 percent Assume that Tyler's employer contributes 6% of Tyler's salary to his retirement fund. Tyler can make an additional annual contribution to his retirement fund before taxes (tax free) up to a contribution of $16,000. Assume he contributes $6,000 per year. Also, assume an inflation rate of 2%. Managerial Report Your spreadsheet model should provide the accumulated savings at the onset of retirement as well as the age at which funds will be depleted (given assumptions on the input parameters). As a feature of your spreadsheet model, build a data table to demonstrate the sensitivity of the age at which funds will be depleted to the retirement age and additional pre-tax contributions. Similarly, consider other factors you think might be important. Develop a report for Tyler outlining the factors that will have the greatest impact on his retirement