Question: A stock technical analyst uses smoothing methods to predict stock prices. The following table contains the monthly price information for Walmart. Date Price 11/29/2019 117.04

A stock technical analyst uses smoothing methods to predict stock prices. The following table contains the monthly price information for Walmart.

Date

Price

11/29/2019

117.04

12/31/2019

117.32

1/31/2020

113.02

2/28/2020

106.30

3/31/2020

112.66

4/30/2020

120.52

5/31/2020

123.55

6/30/2020

119.29

7/31/2020

128.87

8/31/2020

138.85

9/30/2020

139.91

10/31/2020

138.75

What is the predicted share price for September 30, 2020 if this technical analyst uses an exponential smoothing method with a smoothing constant of .8 and a 4-month moving average as the initial forecast share price for April 30, 2020?

A.

$135.06

B.

$137.40

C.

$138.65

D.

$136.50

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