In the cash balance model from Example 16.5, is the $250,000 minimum cash balance requirement really costing

Question:

In the cash balance model from Example 16.5, is the $250,000 minimum cash balance requirement really “costing” the company very much? Answer this by rerunning the simulation with minimum required cash balances of $50,000, $100,000, $150,000, and $200,000. Use the RISKSIMTABLE function to run all simulations at once. Comment on the outputs from these simulations. In particular, comment on whether the company appears to be better off with a lower minimum cash balance.

Fantastic news! We've Found the answer you've been seeking!

Step by Step Answer:

Related Book For  book-img-for-question

Data Analysis And Decision Making

ISBN: 415

4th Edition

Authors: Christian Albright, Wayne Winston, Christopher Zappe

Question Posted: