Capers, Inc. has just promoted you to Chief financial officer. Since this is a new office in the company, you are understaffed and many of the responsibilities have been assigned to you.The first task you have been assigned concerns the cash conversion cycle. Your boss has asked that you examine the following data:Inventory conversion period is $60$ daysPayables deferral period is $30$ daysPayables deferral period is $30$ daysThe second task concerns the cost of bank loans under differing conditions. Specifically:The company needs $$1,500,000$ for a new project.The loan will cost $10\%$ simple interest, for $4$ months,with a $20\%$ compensating balance.Tasks:Analyze what is the firms cash conversion cycle.Evaluate how many times per year are the firms inventory turnover, if sales are $$4,000,000$ per year.If sales are all credit sales and amount to $$4,000,000$ per year, what is the firms average investment in receivables?What is the nominal interest rate on the loan? What does this mean?Justify if you feel the company has a successful cash conversion cycle