Question: Gustav Co . reported $ 2 1 8 5 0 0 of sales, $ 1 5 8 2 5 0 of operating costs other than

Gustav Co. reported $218500 of sales, $158250 of operating costs other than depreciation, and $8290 of depreciation. The company had $48650 of outstanding bonds that carry a 6.75% interest rate, and its federal-plus-state income tax rate was 0.40. In order to sustain its operations and thus generate future sales and cash flows, the firm was required to spend $16700 to buy new fixed assets and to invest $7400 in net operating working capital (ANOWC). What was the firm's free cash flow?

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