Q1. Calculation Questions 1. A firm arranged for a 120-day bank loan at an annual rate of interest of 12 percent. If the loan is for $160,000, how much interest in dollars will the firm pay? (Assume a 360-day year.) 2. A firm has an outstanding bond with a $1,000 par value that is convertible at S50 per share of common stock. If the current market value of common stock per share is $55, the conversion value of the bond is If an investor buys a 100-share call option for $350 with an exercise price of $60 and the underlying price per share of the stock at expiration is $66, what is the amount of profit or loss, ignoring brokerage fees? If an investor buys a 100-share call option for $300 with an exercise price of S30 and the underlying price per share of the stock at expiration is $31, what is the amount of profit or loss, ignoring brokerage fees? 5. Tryst Energy Inc. has an average age of inventory of 65 days, an average collection period of 60 days and an average payment period of 60 days. The firm's total annual outlays for operating cycle investments are $3.65 million. Assuming a 365-day year, how much financing is required to support its cash conversion cycle