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It looks like the manual is missing the fact that mnewton should be loadded (loading it is also commented out in lsquares.mac).

However, still the three parameter fit bombs as I say above. The exact output is:

quotient is not exact

#0: mnewton(funclist=[2*b^4.1*c+2*b^3.1*c+2*b^2.1*c+2*b^1.1*c+2*a*b^8.199999999999999+2*a*b^6.2+2*a*b^4.2-98.2*b^4.1-50.2...,varlist=[a,b,c],guesslist=[5,5,5])(mnewton.mac line 89)

#1: lsquares(arglist=[matrix([1.1,7.1],[2.1,13.1],[3.1,25.1],[4.1,49.1]),[x,y],y = c+a*b^x,[a,b,c],[5,5,5]])(lsquares.mac line 136)

-- an error. To debug this try debugmode(true);