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?© BrainMass Inc. brainmass.com June 3, 2020, 9:15 pm ad1c9bdddf
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