Using Excel Solver

Cash flow management. A financial manager is managing a cash fund. His investment alternatives available are various certificates of deposit, also known as CD's, as listed in the following

	Return
1 Month CD	0.50%
3 Month CD	1.75%
6 Month CD	2.30%
Starting Cash ($000)	$200
Minimum Ending Cash ($000) (Month 6)	$100

However, he also must ensure that sufficient funds are available to pay company expenditures over the next six months. The following table lists the net expenditures (in thousands of dollars) that the manager is obligated to cover (cash amounts in parentheses indicates a net inflow of cash rather than outflow).

Month	1	2	3	4	5	6
Net Expenditures ($000)	$45	-$11	$25	-$22	$43	-$15

(Hint: Investment time starts at the beginning of the month and returns at the end of the month. For example, money invested in a 1-month CD in month 1 will be invested at the beginning of month 1 and returned with interest at the end of month 1. Likewise, money invested in a 3-month CD at the start of month one will be returned with interest at the end of month 3.)