Quarterly billing for water usage is shown in the following table. Assume the time series has seasonality with trend. Quarter Year 1 Year 2 Year 3 Year 4 Winter 65 67 67 72 Spring 104 104 105 121 Summer 153 159 161 177 Fall 74 71 77 87 (a) Solve for the forecast equation that minimizes the sum of squared error. x₁ = 1 if winter, 0 otherwise; x2 = 1 if spring, 0 otherwise; x3 = 1 if summer, 0 otherwise. (b) Forecast the summer of Year 5. Forecast the spring of Year 6.

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