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please answer, A firm expects to have funds of $150,000 idle for 60 days. If the firm could purchase marketable securities yielding 2 percent annually
please answer,
A firm expects to have funds of $150,000 idle for 60 days. If the firm could purchase marketable securities yielding 2 percent annually and pay brokerage fees of $1,500, the firm
A) should make the investment since interest earned exceeds brokerage fees
B) should not make the investment because its return is less than its cost
C) should leave the $150,000 in cash
D) should invest the funds for more than 60 days due to the favorable rate
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