I need the following question answered. The owner of a bicycle repair shop forecasts revenues of 220,000 a year. Variable costs for the shop are $65000, and rental costs for the shop $45000 a year. Depreciation on the repair tools will be $2500.

A. Prepare income statement for the shop based on these estimates. The tax rate is %20.

B. Calculate the operating cash flow for the repair shop using the three methods given below:

1. dollars in minus dollars out
2. Adjusted accounting profits
3. after tax operating cash flow