Your fiRm Spends $82,000 a Week to Pay Bills and Maintain

question 11

Multiple Choice

Your firm spends $82,000 a week to pay bills and maintain a lower cash balance limit of $40,000. The standard deviation of the disbursements is $8,000. The applicable weekly interest rate is .07
Percent and the fixed cost of transferring funds is $55. What is your optimal average cash balance
Based on the Miller-Orr model?

• A) $59,062
• B) $59,361
• C) $60,008
• D) $60,752
• E) $61,404

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Definitions:

Transmitting Emotions

The process of conveying or sharing one's emotional states with others.

Communication Media

Various means or channels used for the exchange of information between individuals or within an organization, including digital, verbal, and written forms.

Face-to-face Meeting

A traditional meeting format where participants interact in person, allowing for immediate communication and non-verbal cues.

Communication Channel

The medium through which information is transmitted from one individual or entity to another, such as email, phone calls, or face-to-face interactions.