Suppose that you work for a U.S. senator who is contemplating writing a bill that would put a national sales tax in place. Because the tax would be levied on the sales revenue of retail stores, the senator has asked you to prepare a forecast of retail store sales for year 8, based on data from year 1 through year 7. The data are:

(c1p8)	Year	Retail Store Sales
	1	$ 1,225
	2	1,285
	3	1,359
	4	1,392
	5	1,443
	6	1,474
	7	1,467

1. Use the naive forecasting model presented in this chapter to prepare a forecast of retail store sales for each year from 2 through 8.

2. Prepare a time-series graph of the actual and forecast values of retail store sales for the entire period. (You will not have a forecast for year 1 or an actual value for year 8.)

3. Calculate the MAPE for your forecast series using the values for year 2 through year 7. (please show how to plug in Excel)