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lisa tailor, CFO of the purple rain Co, concluded from the baumol model that the optimal cash balance for the firm is $20 million. the
lisa tailor, CFO of the purple rain Co, concluded from the baumol model that the optimal cash balance for the firm is $20 million. the annual interest rate on marketable securities is 7.5 percent. the fixed cost of selling securities to replenish cash is $ 5000. purple rains cashflow pattern is well approximated by the baumol model. what can you inter about purple rains average weekly cash disbursement?
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