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Business, 20.06.2021 20:50 michelle453

Opportunity versus Trading Costs White Whale Corporation has an average daily cash balance of $1,700. Total cash needed for the year is $64,000. The interest rate is 5 percent, and replenishing the cash costs $8 each time. What are the oppor- tunity cost of holding cash, the trading cost, and the total cost? What do you think of White Whale’s strategy?

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Opportunity versus Trading Costs White Whale Corporation has an average daily cash balance of $1,700...
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