Hi all,
1. You have to check with your web hosting provider if provide mod_rewrite in your web hosting package.
2. If provided, please go to your web hosting control panel & check in your public_html folder (usually it has became a hidden file) so go to setting 1st & show your hidden file also.
3. Then, please rename your hidden file ".htaccess" to "htaccess.txt" after that should solve your friendly URL issue & your lost image also restored after that.
It has happen to me & my site, it is really time-consuming for a beginner like me to solve this issue like a day or two but I hope it will help you ya.
Thanks a lot.
Go PrestaShop Go!