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To Use the BAT Model of Cash Management You Must

Question 322

Multiple Choice

To use the BAT model of cash management you must know each of the following EXCEPT:


A) The opportunity cost of holding cash.
B) The fixed cost of making a securities trade to replenish cash.
C) The amount of new cash needed for transactions purposes over the relevant planning period.
D) The interest rate on marketable securities.
E) The variance of cash balances.

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