Question 4 (25 Marks) The working capital (or operating) cycle which requires financing is the length of time between payment for materials entering into inventory and receipt of the proceeds of sales. The following table gives information extracted from the annual accounts of Anchor Ltd for the past three years: Required: 4.1 The Chief Executive Officer requested you to calculate the working capital cycle year by year, given that the firm use 365 days in the year; and (15) 4.2 To suggest three (3) possible actions that management could take to reduce the length of that cycle, fully illustrate the disadvantages of each options suggested. (10) (Hint: Your response should be formal, and you must explain what the results of the calculations of 4.1 mean before you could offer suggestions. Each suggestion must be fully motivated.)