Which of the following identities is FALSE?
A) Cash Flow to Creditors = Interest Expense - Net New Borrowing from Creditors
B) Net New Borrowing = Ending Long-term Liabilities - Beginning Long-Term Liabilities
C) Cash Flow to Owners = Dividends + Net New Borrowing from Owners
D) Net New Borrowing from Owners = Change in Equity
Answer: C
Explanation: C) Cash Flow to Owners = Dividends - Net New Borrowing from Owners
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