Question: pls choose the right answer. pls post ASAP. I'll vote up the answer. Q7. An ATM of State Bank of India faces 150 cash withdrawals

pls choose the right answer. pls post ASAP. I'll

pls choose the right answer. pls post ASAP.

I'll vote up the answer.

Q7. An ATM of State Bank of India faces 150 cash withdrawals a week. The average amount withdrawn is Rs. 800. The bank estimates that the fixed cost of filling the ATM with cash is Rs. 1000 regardless of the amount of cash put in. The annual holding cost of money is 10 paise for a rupee. (a). What is the optimal amount of cash that the bank should fill inside the ATM machine? 0353270 0 34641 O 1732 O None of the above Further to Q7 above, (b). What is the average amount of cash in the ATM? 176635 17321 O 866 O None of the above

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related General Management Questions!