Operating cash flow. Grady Precision Measurement Tools has forecasted the following sales and costs for a new GPS? system: annual sales of 40,000 units at $22 a? unit, production costs at 35?% of sales? price, annual fixed costs for production at ?$140,000?, and? straight-line depreciation expense of $200,000 per year. The company tax rate is 38?%.

What is the annual operating cash flow of the new GPS? system?