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During 2016, the company raised $1,855 in new long-term debt. 1. What is the cash flow to creditors? Consider the following abbreviated financial statements for

During 2016, the company raised $1,855 in new long-term debt.

1. What is the cash flow to creditors?

Consider the following abbreviated financial statements for Cabo Wabo, Inc.:

CABO WABO, INC. Partial Balance Sheets as of December 31, 2015 and 2016
2015 2016 2015 2016
Assets Liabilities and Owners Equity
Current assets $ 2,753 $ 2,890 Current liabilities $ 1,107 $ 1,658
Net fixed assets 12,509 13,060 Long-term debt 6,596 7,818

CABO WABO, INC. 2016 Income Statement
Sales $ 40,090
Costs 20,082
Depreciation 3,444
Interest paid 657

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