The Moore Enterprise has gross profit of $$1,280,000$ with amortization expense of $$560,000.$ The Kipling Corporation has $$1,280,000$ in gross profits but only $$80,000$ in amortization expense. The selling and administration expenses are $$140,000$; the same for each company.

If the tax rate is $30$ percent, calculate the cash flow for each company.

Cash flow $ Moore $,$$$$

Calculate the difference in cash flow between the two firms?

Difference in cash flow