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    Target Cash Level

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    The variance of the daily net cash flows for the Tseng Asian Import Co is $1.44 million. The opportunity cost to the firm of holding cash is 8% per year. The fixed cost of buying and selling securities is $600 per transaction.

    What should the target cash level and upper limit be, if the tolerable lower limit has been established at $20,000?

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    https://brainmass.com/business/cash/target-cash-level-173661

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    This posting provides a detailed response to the student's question related to target cash level and upper limit.

    $2.19

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