11-40 Depreciation, Income Taxes, Cash Flows Fill in the unknowns (in thousands of dollars): (S) Sales 530 (E) Expenses excluding depreciation 350 100 450 (D) Depreciation Total expenses Income before income taxes Income taxes at 40% Net income Cash effects of operations (T) (1) Cash inflow from operations Income tax outflow at 40% After-tax inflow from operations? Effect of depreciation Depreciation,? Income tax savings Total after-tax effect on cash