b) Explain the effect of the following:

e. Company D has recently concluded the purchase of a subsidiary in cash.

Explain the effect of this transaction on the company's cash flow from

financing activity.

f. Company Z has recently sold some of its existing non-current assets,

which it intends to replace. The assets have been sold for higher than

net book value, resulting in a profit on sale. Explain how the proceed

from the sales and profit on sales impacts on the company's cash flow

in the year.