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Firm ABC is doing a cash flow analysis. They have calculated an operating cash flow of $3.2M. In addition, during the year they increased fixed

  1. Firm ABC is doing a cash flow analysis. They have calculated an operating cash flow of $3.2M. In addition, during the year they increased fixed assets by $500K and decreased operating liquidity by $250K. The firm has depreciation of $300K and interest expenses of $650K. Cash flow to shareholders is $1.6M. What is cash flow to creditors?
    1. $550K
    2. $265K
    3. $1.05M
    4. $1.35M

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