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Forums › ACCA Forums › ACCA FM Financial Management Forums › Notes CH6_6.2 Baumol Model_Example2
Answer to (a) why we added 150k with 1.5M to take an average while our forecast is only 1.5M and in another calculation, why only average on 150k to calculate interest earned.
Thanks
I do explain this in detail in my free lectures working through this example (if you are not watching the lectures then you really should not be using the notes because they are only lecture notes – in that case you really need to study from a Study Text).