The owner of a bicycle repair shop forecasts revenues of$184,000 a year. Variable costs will be $56,000, and rental costsfor the shop are $36,000 a year. Depreciation on the repair toolswill be $16,000. The tax rate is 35%.

a.	Calculate operating cash flow for the year by using all threemethods: (a) adjusted accounting profits; (b) cash inflow/cashoutflow analysis; and (c) the depreciation tax shield approach.

Method	Operating Cash Flow
Adjusted accounting profits	$
Cash inflow/cash outflow analysis
Depreciation tax shield approach

b.	Are the above answers equal?
	Yes No