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Question 3 (4 marks) ABC Ltd has annual cash outflows of R 2450600 and annual cash inflows of R 1350600 . The company can earn

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Question 3 (4 marks) ABC Ltd has annual cash outflows of R 2450600 and annual cash inflows of R 1350600 . The company can earn 8% on marketable securities and a transaction cost of R45 is incurred every time cash is converted. Using the Baulmol model, calculate the optimal cash transfer amount to be converted and the number of times per year that cash would need to be converted

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