Acme Incorporated had $11,750 of sales, $6,500 of operating costs, and $1,250 of depreciation.

The company had $3,500 of debt for which it pays 6.25% interest per year. Its total tax rate was 35%.

During the same period, the firm spent $1,600 on required fixed assets and additional operating working capital.

What was its free cash flow?

		$1,873
		$1,972
		$2,250
		$2,185
		$2,300