MacHaffie Industries recently reported $302,400 of sales, $181,440 of operating costs other than depreciation, and $8,924 of depreciation. The company had no amortization charges, its interest expense was $9,748, and its federal-plus-state income tax rate was 25%. To sustain its operations and thus generate sales and cash flows in the future, the firm was required to make $40,000 of capital expenditures on new fixed assets and to invest $7,250 in net operating working capital. What is the firms free cash flow?

a. $45,701

b. $52,951

c. $64,786

d. $73,710

e. $80,960