The Snow Hut Has Analyzed the Carrying and Shortage Costs

question 15

Multiple Choice

The Snow Hut has analyzed the carrying and shortage costs associated with its cash holdings and determined that the firm should ideally maintain a cash balance of $3,600.This $3,600 represents which one of the following to the firm?

• A)target cash balance
• B)concentration balance
• C)available balance
• D)selected cash amount
• E)compensating balance

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Definitions:

Sensation-Type

A psychological characteristic indicating a preference for sensory experience and concrete information.

Intuitive-Type

Characterizes individuals or decision-making styles that rely more on instinctual feelings rather than systematic analysis.

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An overall perspective or comprehensive understanding of a situation, concept, or project, focusing on its entirety rather than minute details.

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Personal wellness involves the pursuit of one’s job and career goals with the support of a personal health promotion program.