MANAGING CASH FOR A MINING COMPANY

One of the target main of company cash management is the decision making relating the choice of the profitable surpluse placing the cash which occurres periodically, as well as funding sources for temporary her deficiency. Too big the cash amounts in relation to real needs, reduces the risk of privation financial liquidity. However it limits profits, which could be reached as the result of commitment in the economic processes or remunerative places of free cash. This inplicases the necessity of maximization of benefits from possession of cash across correc husbanding of supplies. The optimization of cash management can be realized with using of different methods. This paper shows the theoretical reasoning models used for optimizing cash levels, like the Baumol, Beranek, Miller-Orr, Stone model as well as the method of the Monte Carlo simulation. Discussed the practical utilization possibility above mentioned methods, paying back attention on problems with their adaptation to real economic conditions. The introduction to above mentioned models be introduced the methods of financial liquidity estimate of company. Moreover passed the example forms of surpluse placing the free cash. The practical applications the Miller-Orr model using to optimizing cash levels for a raw rock mine. Presented implementation of this model let us to conclude that, usage of this model allows to make rational decisions regarding effective cash management, in spite signaled his defects.