1. Farm Fresh Vegetables, Inc. has net working capital of $3,400, net fixed assets of $30,100, current liabilities of $4,700, and long-term debt of $11,500. What is the value of the owners' equity?

$20,700

$22,000

$25,400

$17,300

$13,900

2. When net new borrowings are subtracted from the interest payments a firm pays to its creditors the result is called the:

a. cash flow to creditors.

b. change in net working capital.

c. free cash flow.

d. operating cash flow.

e. cash flow from assets.