Given an Actual Demand of 61, a Previous Forecast of 58

question 43

Multiple Choice

Given an actual demand of 61, a previous forecast of 58, and an alpha of .3, what would the forecast for the next period be using simple exponential smoothing?

• A) 45.5
• B) 57.1
• C) 58.9
• D) 61.0
• E) 65.5

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Definitions:

Algorithmic Trading

The use of computer programs to make trading decisions.

High Frequency Trading

High Frequency Trading (HFT) involves using sophisticated technological tools and computer algorithms to trade securities on a rapid basis, often within milliseconds.

Dark Pools

Electronic trading networks where participants can anonymously buy or sell large blocks of securities.

Market Order

A type of trading order that instructs to buy or sell a security immediately at the current market price.