able securities, incurring a fee of P300 for each transaction. If Sandbox leaves its funds in marketable securities, it expects to earn approximately 0.50% per month on their investment. 1. If Sandbox gets a cash infusion of P1 million each time it needs cash, how many transactions would be associated with its cash investment? Use a number, no decimal value no currency, no space, no commas * 2. Using the Baumol model, how much would be the Sandbox’s minimum total costs associated with cash infusion? Use a number, no decimal value no currency, no space, no commas. * THIS IS NOT A BARTLEBY ESSAY QUESTIONS. IT INVOLVES COMPUTATIONS, NOT ESSAYS! READ IT AGAIN! DO NOT ASK THIS TO BE REVISED!!!!

able securities, incurring a fee of P300 for each transaction. If Sandbox leaves its funds in marketable securities, it expects to earn approximately 0.50% per month on their investment. 1. If Sandbox gets a cash infusion of P1 million each time it needs cash, how many transactions would be associated with its cash investment? Use a number, no decimal value no currency, no space, no commas * 2. Using the Baumol model, how much would be the Sandbox’s minimum total costs associated with cash infusion? Use a number, no decimal value no currency, no space, no commas. * THIS IS NOT A BARTLEBY ESSAY QUESTIONS. IT INVOLVES COMPUTATIONS, NOT ESSAYS! READ IT AGAIN! DO NOT ASK THIS TO BE REVISED!!!!

EBK CONTEMPORARY FINANCIAL MANAGEMENT

14th Edition

ISBN:9781337514835

Author:MOYER

Publisher:MOYER

Chapter17: The Management Of Cash And Marketable Securities

Section: Chapter Questions

Problem 1P

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