Maya's Inc.'s optimal cash transfer amount, using the Baumol model, is $55,385. The firm's fixed cost per cash transfer of marketable securities to cash is $180. In addition, the total estimated cash costs (transfers and carrying cost) for the firm, based on 16 transactions per year, are $5,760. On what opportunity cost of holding cash was this analysis based?

A. |
19.2% |

B. |
10.4% |

C. |
6.3% |

D. |
12.1% |

E. |
9.6% |

Maya's Inc.'s optimal cash transfer amount, using the Baumol model, is $55,385. The firm's fixed cost per cash transfer of marketable securities to cash is $180. In addition, the total estimated cash costs (transfers and carrying cost) for the firm, based on 16 transactions per year, are $5,760. On what opportunity cost of holding cash was this analysis based?

A. |
19.2% |

B. |
10.4% |

C. |
6.3% |

D. |
12.1% |

E. |
9.6% |

Maya's Inc.'s optimal cash transfer amount, using the Baumol model, is $55,385. The firm's fixed cost per cash transfer of marketable securities to cash is $180. In addition, the total estimated cash costs (transfers and carrying cost) for the firm, based on 16 transactions per year, are $5,760. On what opportunity cost of holding cash was this analysis based?

A. |
19.2% |

B. |
10.4% |

C. |
6.3% |

D. |
12.1% |

E. |
9.6% |

A. |
19.2% |

B. |
10.4% |

C. |
6.3% |

D. |
12.1% |

E. |
9.6% |

19.2%

B.10.4%

C.6.3%

D.12.1%

E.9.6%

A.19.2%

A.19.2%

19.2%

B.10.4%

B.10.4%

10.4%

C.6.3%

C.6.3%

6.3%

D.12.1%

D.12.1%

12.1%

E.9.6%

E.9.6%

9.6%