What will be its optimal upper cash


Veggie Burgers, Inc., would like to maintain its cash account at a minimum level of $262,000 but expects the standard deviation in net daily cash flows to be $13,700, the effective annual rate on marketable securities to be 3.0 percent per year, and the trading cost per sale or purchase of marketable securities to be $36.00 per transaction.

What will be its optimal upper cash limit?

Request for Solution File

Ask an Expert for Answer!!
Financial Management: What will be its optimal upper cash
Reference No:- TGS02719415

Expected delivery within 24 Hours