Question
If Fixed Cost are $15,000 and the Total Cash needed is $250,000 calculate the 1. Target Cash Balance 2. Opportunity Cost 3. Trading Cost 4.
If Fixed Cost are $15,000 and the Total Cash needed is $250,000 calculate the
1. Target Cash Balance
2. Opportunity Cost
3. Trading Cost
4. Total Cost
using the Baumol Model. Interest Rate is 6.50%
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Advanced Accounting
Authors: Joe Hoyle, Thomas Schaefer, Timothy Doupnik
10th edition
0-07-794127-6, 978-0-07-79412, 978-0077431808
