Problem
During the year, the Senbet Discount Tire Company had gross sales of $535,900. The company's cost of goods sold and selling expenses were $176,600 and $103,200, respectively. The company also had debt of $482,000, which carried an interest rate of 7 percent. Depreciation was $61,500. The tax rate was 22 percent.
i. What was the company's net income?
ii. What was the company's operating cash flow?