The firm PAR inc. forecasts monthly disbursements of $ 75,000 over the next year. The firm invests its cash in treasury bills at an annual rate of 30%. A treasury bill transaction costs the firm $...

The firm PAR inc. forecasts monthly disbursements of $ 75,000 over the next year. The firm invests its cash in treasury bills at an annual rate of 30%. A treasury bill transaction costs the firm $ 150.
a) What would be the optimal amount of treasury bills that the business must sell to minimize the total cost of cash on hand during the year?

b) What would that total cost of cash be during the year?