What is the optimal average cash balance, Financial Accounting

+44 141 628 6080
[email protected]

What is the optimal average cash balance

Problem

TransContinental completed its cash budget needs for the coming year and has decided that it will need $878,175 cash. The firm's fixed cost per cash transfer of marketable securities to cash is $1,086. If the cost of borrowing is 8%, what is the optimal average cash balance?

Request for Solution File

Ask an Expert for Answer!!

Financial Accounting: What is the optimal average cash balance

Reference No:- TGS03358725

Expected delivery within 24 Hours

Have a Question? (oR Write a Review)

Write atleast 100 words!!

Recent Questions Asked Financial Accounting

Q : Has tim committed any ethical violations

Tim Curran, CFA and portfolio manager for a large pension fund management company. Based on the information above, has Tim committed any ethical violations?

Q : What are the monthly payments

A 20-year mortgage with monthly payments has a principal outstanding of $125,000. Interest is at 8% compounded semi-annually. What are the monthly payments?

Q : Which training proposal best address the training need

Recommend to your Director, HR, which training proposal you think will best address the training need.

Q : What would be the new exchange rate value

What would be the new exchange rate value if the yuan was revalued an additional 20% or 30% from its initial post-revaluation rate of Yuan8.28/$ to Yuan8.11/$?

Q : What is the optimal average cash balance

The firm's fixed cost per cash transfer of marketable securities to cash is $1,086. If the cost of borrowing is 8%, what is the optimal average cash balance?

Q : What are types of data

Problem: What are types of data? How is this data used? Give some examples. Please give a reference. Thank you!

Q : Which is the dependent variable in the study

written tests of persuasive essays than those students who are not trained in discussion techniques. Which of the following is the dependent variable in study

Q : Outline factors that affect the value of a futures contract

Outline four factors that affect the value of a futures contract and explain why changes in these factors affect the value of the futures contract.

Q : What is the value of firm according to modigliani and miller

Calm Seas Corp, a zero growth firm, has an expected EBIT. What is the value of the firm according to Modigliani and Miller (MM) theory with corporate taxes?

1950922

Questions
Asked

3,689

Active Tutors

1441914

Questions
Answered

Start Excelling in your courses, Ask a tutor for help and get answers for your problems !!

ask Question

Asked Questions

What is meant by an incomplete abortion

Problem: After an incomplete abortion, a client asks the nurse to tell her again what is meant by an "incomplete abortion."

Which sign indicates a child is a victim of bullying

Question: Which sign indicates a child is a victim of bullying and would be included in a teaching session for teachers?

Pregnant client about having a chorionic villus sampling

Which information would the nurse give a pregnant client about having a chorionic villus sampling (CVS): The test can lead to spontaneous abortion.

Discuss nursing diagnosis of deficient fluid volume

Question: The nurse writes the nursing diagnosis of Deficient Fluid Volume after performing a nursing assessment.

Defining characteristics of this diagnostic label

writes the nursing diagnosis label, Readiness for Enhanced Fluid Balance. What are the defining characteristics of this diagnostic label?

What is meant by an incomplete abortion

After an incomplete abortion, a client asks the nurse to tell her again what is meant by an "incomplete abortion."

Discussion about fear of having contracted herpes

A 16-year-old high school student comes to a community health center because of the fear of having contracted herpes.