Q2. (a) Running Man Berhad, a manufacturer of steel toys, has annual sales of RM20 million. Cost of goods sold is 70% of sales and purchases are 65% of cost of goods sold. All the sales and purchases are on credit. Assume a 360-day year, and Running Man Berhad has the following ratios: Average Inventory Holding Period Average Payment Period Average Collection Period 45 days 30 days 25 days Required: (i) Compute the Cash Conversion Cycle (CCC) of Running Man Berhad. (12 marks) Compute the amount of net working capital invested in the Cash Conversion Cycle (CCC) of Running Man Berhad. (3 marks) (ii) (b) Explain how the credit analyst's focus will differ from the investment analyst's focus. (6 marks) (c) Discuss the requirements for reporting noncash transactions and the relevance of such information to users of cash flow statement? (9 marks) [Total: 30 marks)