Jordan Moore, the budget manager for Jefferson City, has requested that you assist him with the management of the cities ' funds. Specifically, he wants you to calculate the two scenarios listed below based on the following information. A. The city has total cash payments of $20 million (T) for a 6-month period. Assume that the payment over this period is steady. The cost per transaction is $60 (b), the interest rate is 3% for the period (i), and the cost per dollar of funds transferred is .05% (v).

Calculate the optimal initial cash balance and transfer size Average cash balance The number of transfers The total cost of cash management