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Based on some market research, you expect to sell around 200,000 bottles of V-DRINK a year at wholesale price of $2.2. Operating costs (excluding depreciation)

Based on some market research, you expect to sell around 200,000 bottles of V-DRINK a year at wholesale price of $2.2. Operating costs (excluding depreciation) are expected to be 50% of revenue. The firm's tax rate is 40%.

What is the annual operating cash flow associated with this project in year 2? (Note you will need to factor in $30,000 in depreciation in year 2 from the prior question).

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