Depreciation and accounting cash flow A firm in the third year of depreciating its only asset, which originally cost $187,000 and has a 5-year MACRS recovery period has gathered the following data relative to the current year's operations Accruals Current assets Interest expense Sales revenue Inventory Total costs before depreciation, interest and taxes Tax rate on ordinary income $15,300 129,000 14,100 412,000 69,800 291,000 40% a. Use the relevant data to determine the operating cash flow for the current year h Fynlain the impact that renteriation as well as any other noncash channes has on a firm's cash flows Come a. Complete the following table to determine the operating cash flow (OCF) (Round to the nearest dollar) Operating Cash Flow Sales revenue Less Total costs before depreciation, interest, and taxes Depreciation expense Earnings before interest and taxes Less Taxes at 40% Net operating profit after taxes (NOPAT) Plus Depreciation Rounded Depreciation Percentages by Recovery Year Using MACRS for First Four Property Classes Recovery year 1 2 3 4 5 6 7 8 9 10 11 3 years 33% 45% 15% 7% Percentage by recovery year 5 years 7 years 20% 14% 32% 25% 19% 18% 12% 12% 9% 9% 9% 4% 12% 5% 10 years 10% 18% 14% 12% 9% 8% 7% 6% 6% 6% 4% 100% 100% 100% 100% Totals "These percentages have been rounded to the nearest whole percent to simplify calculations while retaining realism. To calculate the actual depreciation for tax purposes, be sure to apply the actual unrounded percentages or directly apply double-declining balance (200%) depreciation using the half-year convention