2.1. Using the information provided below, answer the question that follows. (3 marks) INFORMATION Lambda Distributors (LD) is a regular supplier of branded beauty products to Edgemead Stores (ES) subject to normal credit terms of 30 days. Today, LD supplied R200 000 worth of merchandise to ES on credit. The manager of LD is prepared to shave R3000 off the receivable on condition that ES settles the account within 10 days. The cost of the overdraft facility available to ES is 30%. Answer the following questions: 2.2.1. Calculate the spread. 2.2.2. Calculate the Miller-Orr model upper limit and return point 2.2.3. Explain how the upper limit and return point would be used to manage the cash balances of WHG Enterprises. 2.3. Study carefully the following company information and answer the following question. Calculate the cost to Edgemead Stores of not accepting the discount and state whether Edgemead Stores should accept the discount offered. 2.2. Study the information provided below and answer the following questions. INFORMATION Croesus Enterprises is considering using the Miller-Orr model to manage its cash flows. The minimum cash balance would be R300 000 and the variance of its daily cash flows is R1 800000000 (i.e., the standard deviation is approximately R42426). The cost of buying/selling securities is R50, and the daily interest rate is 0.25%