Problem:
During the year, the Senbet Discount Tire Company had gross sales of $1.21 million. The firm's cost of goods sold and selling expenses were $444,000 and $218,000, respectively. Senbet also had notes payable of $700,000. These notes carried an interest rate of 9 percent. Depreciation was $104,000. Senbet's tax rate was 36 percent.
Required:
1. What was Senbet's net income? (Do not include the dollar sign ($). Enter your answer in dollars, not millions of dollars.) Net income $
2. What was Senbet's operating cash flow? (Do not include the dollar sign ($). Enter your answer in dollars, not millions of dollars.) Operating cash flow $
Please provide all calculation and formulas.