3. MBC News would like to calculate its free cash flow for 2019. Analyze the financial statements below to answer the questions. Note that MBC has a tax rate of 35%. MBC News Income statement for the year ended December 31, 2019 (000s) Sales revenue $58,400 Costs of goods sold $38,200 Gross profit $20,200 Selling, general and administrative expense $4,200 Depreciation expense $800 Earnings before interest and taxes $15,200 Interest expense $1,240 Net profits before taxes $13,960 Taxes (35%) $4,886 Net profits after taxes $9,074 MBC News Balance Sheet (000s) - December 31 31-Dec 2019 2018 Assets Cash and marketable securities $7,400 $7,200 Accounts receivable $5,200 $5,100 Inventories $6,200 $6,400 $18,80 $18,70 Total current assets 0 0 Net fixed assets $7,800 $7,500 $26,60 $26,20 Total assets 0 Liabilities and Stockholders' Equity Accounts payable $7,100 $6,800 Notes payable $3,100 $3,200 Accruals $2,500 $2,400 $12,70 $12,40 Total current liabilities 0 0 Long-term debt $4,500 $4,900 Total liabilities Common stock Retained earnings Total stockholders' equity Total liabilities & stockholders' equity 0 0 $4,700 $4,600 $4,700 $4,300 $9,400 $8,900 $26,60 $26,20 b. Calculate AND interpret operating cash flow (OCF) for MBC News C. Calculate AND interpret free cash flow (FCF) for MBC News