The Flying Lion Corporation reported the following data on the income statement of one of its divisions. Flying Lion Corporation has other profitable divisions.

20X2

20X1

Net sales

$800,000

$500,000

Cost of goods sold

560,000

320,000

Operating expenses

75,000

56,000

Depreciation

300,000

200,000

Tax rate (%)

30

30

a. Prepare an income statement for each year.

b. Determine the operating cash flow during each year.