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ABC Ltd. shows the following information on its 2017 income statement: GHS Sales 193,000 Cost of goods sold 96,500 Other expenses 5,100 Depreciation expense 13,800

ABC Ltd. shows the following information on its 2017 income statement: GHS Sales 193,000

Cost of goods sold 96,500

Other expenses 5,100

Depreciation expense 13,800

Interest expense 10,400

Taxes 23,520

Dividends 12,500

Increased expenditure on fixed assets 25,000

Increase in net working capital 6,000

In addition, youre told that the firm issued GHS6,000 in new equity during 2017, and redeemed GHS7,500 in outstanding long-term debt.

Required: (i) What was the 2017 free cash flow? (ii) What was the 2017 cash flow to creditors? (iii) What was the 2017 cash flow to stockholders?

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