Sorry, should've added that this was the 32 bit version of Windows 7 Professional.
I actually found the solution in the Microsoft Management Services Console help though. Here's what I did that allowed the service to start properly:
1. Started the services console (services.msc) from the Start Search box.
2. Right-clicked on the Apache Tomcat service and selected Properties.
3. Clicked the Logon Tab.
4. Checked the Local System Account radio button.
5. Entered: NT AUTHORITY\LocalService into the This Account textbox.
6. Entered the password for the local account.
7. Saved and successfully started the Apache Tomcat service manually.
Dev Studio didn't start Apache Tomcat automatically, even though the service is set to Automatic. I think that might be a Dev Studio setting if I remember correctly.
Local: AppStudio 8.2.03 - Win7 - Tomcat Server: WebFOCUS 8.2.03 - Windows 2008 R2 Enterprise on VMWare 2 CPU, 3.2GHz, 4GB of RAM Output Formats: HTML, Excel, PDF, PPT, Active Reports