In the Baumol-Tobin model,given that total costs for an individual equals 
+ 
,where T0 = monthly income,b = brokerage costs,and C = amount raised from each bond transaction,derive the so-called square root rule.
Definitions:
Annual Returns
The percentage change in an investment's value over a one-year period, taking into account both capital gains and dividends.
Probability
The measure of the likelihood that an event will occur, quantified between 0 and 1.
Next Year
A reference to the year immediately following the current year.
Large Company Stocks
Shares issued by corporations with large market capitalizations, typically seen as stable investments.
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