Provide correct solution general accounting The 2022 balance sheet of Mountain Gear Corporation showed long-term debt of $6.8 million, and the 2023 balance sheet showed long-term debt of $7.3 million. The 2023 income statement showed aninterest expense of $185,000. What was the firm's cash flow tocreditors during 2023?

To figure out the cash flow to creditors during 2023, we need to take into account both the interest…

Answered: The 2022 balance sheet of Mountain Gear…

Intermediate Financial Management (MindTap Course List)

13th Edition

ISBN:9781337395083

Author:Eugene F. Brigham, Phillip R. Daves

Publisher:Eugene F. Brigham, Phillip R. Daves

Chapter6: Accounting For Financial Management

Section: Chapter Questions

Problem 12P

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The 2022 balance sheet of Mountain Gear Corporation showed long- term debt of $6.8 million, and the 2023 balance sheet showed long- term debt of $7.3 million. The 2023 income statement showed an interest expense of $185,000. What was the firm's cash flow to creditors during 2023?