Following is the Cash Conservation Equation, which always holds as an accounting equality.

C - I = d + F

Where C = Net cash flow from operation (inflow),

I = Net cash flow for investment (outflow),

C - I = Free Cash Flow,

d = Net payout to equity holders (cash dividends to common shareholders + acquisition of treasury stock new share issues),

F = Net cash flow to financial asset issuers and investors in debt securities.

Requirement 1: Confirm if the Cash Conservation Equation holds for financial data below for the fiscal year of 217

Cash inflow from sales $850

cash outflows for sales and general administration 300

income tax paid on operating income 50

acquisition of operating fixed assets in cash 520

cash interest paid (after tax) 30

cash outflow to redeem borrowings 150

cash dividends to common shareholders 100

cash raised by borrowing new loans 300

Requirement 2 Based on your answer for the requirement A, what are characteristics of the firm's cash flow of the year 217?