Question: please answer correctly and asap will rate ps- answer is NOT 394,431.44 Veggie Burgers, Inc, would like to maintain its cash account at a minimum
please answer correctly and asap
will rate
ps- answer is NOT 394,431.44
Veggie Burgers, Inc, would like to maintain its cash account at a minimum level of $250,000 but expects the standard deviation in net daily cash flows to be $12,500, the effective annual rate on marketable securities to be 4.2 percent per year, and the trading cost per sale or purchase of marketable securities to be $30.00 per transaction. What will be its optimal upper cash limit? (Use 365 days a year. Do not round intermediate calculations. Round your final answer to 2 decimal places.)
Step by Step Solution
There are 3 Steps involved in it
1 Expert Approved Answer
Step: 1 Unlock
Question Has Been Solved by an Expert!
Get step-by-step solutions from verified subject matter experts
Step: 2 Unlock
Step: 3 Unlock
