Cash Conversion CycleCash Conversion Cycle(a)Enter figures belowInventory Conversion Period64daysAverage Collection Period28daysPayables Deferral Period41daysCash Conversion Cycle51days(b)Annual Sales$ 2,578,235.00divided into 365 days365daysAverage Sales per Day$ 7,063.6575Average Collection Period28daysInvestment in Receivables$ 197,782.41(c) Step 1: Inventory BalanceAnnual Sales$ 2,578,235.00Cost of Goods Sold75%percent of salesdivided into 365 days365daysInventory Conversion Period64days$ 5,297.74Inventory$ 339,055.56Step 2: Inventory Turnover RatioAnnual Sales$ 2,578,235.00Inventory$ 339,055.56Turnover Ratio7.60times a year(d)Competitor A88days54days30days112daysCompetitor B90days44days30days104days Additional Funds NeededAdditional Funds NeededLast year's Sales$ 5,000,000Sales to Increase (in percent)20%Total Liabilities and Equity = Assets$ 3,000,000Accounts Payable$ 300,000Notes Payable$ 600,000Accrued Liability$ 300,000Profit Margin3%Retained30%Required increase in Assets$ 600,000Spontaneous increase in Payables and Accruals$ 120,000Increase in Retained Earnings$ 54,000Assets/Sales60%Next year's Sales (forecasted) $ 6,000,000Change in Sales$ 1,000,000Additional Funds Needed$ 426,000 Cross-Exchange RateCross-Exchange Rate$1 to Israeli shekels3.58$1 to Japanese Yen109Cross-Exchange Rate30.45Yen/Shekel FV & PV Lump SumFuture ValuePresent ValueInterest RateInterest Rate# of Periods# of PeriodsStarting ValueLump Sum in the FutureFuture Lump Sum$ - 0Present Value$0 Required Interest RatesRequired Interest RatesPresent Valuein savingsFuture Valueneeded at retirementAdditional fundsNumber of PeriodsyearsRequired Interest RateERROR:#NUM! FV & PV Annuitya)Future Value of an Annuitya)Present Value of an AnnuityInterest RateInterest Rate# of Periods# of PeriodsPayments (per period)Payment per periodFuture Value$ - 0Present Value$0.00b)Future Value of an Annuityb)Present Value of an AnnuityInterest RateInterest Rate# of Periods# of PeriodsPayments (per period)Payment per periodFuture Value$ - 0Present Value$0.00c)Future Value of an Annuityc)Present Value of an AnnuityInterest RateInterest Rate# of Periods# of PeriodsPayments (per period)Payment per periodFuture Value$ - 0Present Value$0.00 Bond ValuationBond ValuationFace ValueYield to MaturityCoupon Bond CCoupon Bond ZYears to MaturityPrice of Bond CPrice of Bond Z4$0.00$0.003$0.00$0.002$0.00$0.001$0.00$0.000$0.00$0.00 YTM & YTCPrice of each of the three bondsBasic Input DataBond ABond BBond CYears to maturityCoupon ratePar valuePeriodic payment$0$0$0Yield to maturity9%9%9%Price$0.00$0.00$0.00Current Yield Bond ABond BBond CCurrent yield ERROR:#DIV/0!ERROR:#DIV/0!ERROR:#DIV/0! CAPM and Required ReturnCAPM and Required ReturnMarket Beta1.0Required ReturnRisk-Free RateMarket Premium0.00%Your CompanyRisk-Free Rate0.00%Market Premium0.00%Company BetaRequired Return0.00%Closet CompetitorRisk-Free Rate0.00%Market Premium0.00%Competitor's BetaRequired Retur.