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QUESTION FOUR (15 MARKS) a) Textiles Plc, a manufacturing company, has the following information in its books of b) The company intends to raise some further finances of Kshs 600,000 without affecting its current capital structure proportions. Required i) Show the new capital structure after raising the additional funds and clearly show the value of each capital component. (4 Marks) ii) Explain the effect on the firm's capital structure if the entire additional funds was raised from the issue of ordinary shares? (4 Marks) iii) Explain the meaning and the importance of the working capital operating cycle clearly showing the actions that the firm can take to reduce the working capital cycle ( 7 Marks) QUESTION FOUR (15 MARKS) a) Textiles Plc, a manufacturing company, has the following information in its books of b) The company intends to raise some further finances of Kshs 600,000 without affecting its current capital structure proportions. Required i) Show the new capital structure after raising the additional funds and clearly show the value of each capital component. (4 Marks) ii) Explain the effect on the firm's capital structure if the entire additional funds was raised from the issue of ordinary shares? (4 Marks) iii) Explain the meaning and the importance of the working capital operating cycle clearly showing the actions that the firm can take to reduce the working capital cycle ( 7 Marks)