Suppose you have weekly cash expenses of $150. The bank charges $0.25 every time cash is withdrawn.

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The bank pays 1.5% interest per year. Given this information, what is the optimal withdrawal size? What

is the average amount of cash on hand? How often should you withdraw funds?

Related Book For answer-question

Basic Finance An Introduction to Financial Institutions Investments and Management

ISBN: 978-1111820633

10th edition

Authors: Herbert B. Mayo

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Posted Date: Mar 08, 2024 11:16 PM

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Suppose you have weekly cash expenses of $150. The bank charges $0.25 every time cash is withdrawn.

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Okay lets break this down stepbystep Weekly cash expenses 150 Bank charges 025 per withdr... View the full answer

Basic Finance An Introduction to Financial Institutions Investments and Management

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