| Article ID: | iaor1989858 |
| Country: | France |
| Volume: | 23 |
| Issue: | 1 |
| Start Page Number: | 99 |
| End Page Number: | 112 |
| Publication Date: | Feb 1989 |
| Journal: | RAIRO Operations Research |
| Authors: | Kwak N.K., Renfro Michael |
This paper deals with determining the optimal cash maintenance level at a financial institution by utilizing traditional inventory control concepts. Using the conceptual framework of the economic order quantity (EOQ) model, this paper demonstrates that cash, properly controlled by a financial institution, can generate additional revenue and reduce employee time and costs.