Q1. What is the cash conversion cycle for a firm with $3 million average inventories, $2 million average accounts payable, a receivables period of 45 days, and an annual cost of goods sold of $20 million? (2 marks)

Q2. If a firms bonds pay a 6% coupon and mature in 3 years, what is their market value, assuming a 8% yield to maturity? Assume the bond has a $1,000 par value.

(2 marks)