ING y manu- (20. What would be the effect on free cash flows of each ars, theof the following items: o, $750, a. Purchase of $400,000 of fixed assets 00). The b. Sale of $220,000 of book value fixed assets for nost ap- method C. A $90,000 increase in net working capital t logical d. Issuance of $600,000 of first mortgage bonds ghts the ings are 21. E&K Company has a net book value of $250,000 sidering a loss of $50,000 oimpet The company has a 10 percent cost of capita firm expects to have profits of s4 three years