leads to a higuei pic QUESTION THREE (a) The following information relates to Supa supermarkets Ltd for the year ended 31 December, 2016 Shs million Beginning of year End of year Inventory 2,000 2,300 Accounts receivable 600 800 Accounts payable 500 300 Sales in the year were sh. 11.5 billion, of which 60% were on credit. Cost of goods sold to sales was 85:100. Cash purchases were 30% of credit purchases. Required (1) The cash cycle for Supa during the year 2016. (11 marks) (1) The steps that Supa can take in order to reduce the operating cycle. (5 marks) (b) Briefly discuss the following types of private equity transactions: management buy- out (MBO), management buy-in (MBI), and institutional buy-out (IBO). (9 marks) www