7-14 Blooper Industries Cash Flow From Operations (,000s Revenues 15000 Expenses 10000 Depreciation 2.000 Profit before tax 3.000 Tax@ 35 1.050 Net profit 1.950 Depreciation 2.000 CF from operations 3, 950 or S3, 950,000 Irwin/McGraw-Hill CThe McGraw-Hill Companies, Inc, 2001©The McGraw-Hill Companies, Inc.,2001 7- 14 Irwin/McGraw-Hill Blooper Industries Cash Flow From Operations (,000s) Revenues - Expenses Depreciation = Profit before tax .-Tax @ 35 % = Net profit + Depreciation = CF from operations 15 000 10 000 2 000 3 000 1 050 1 950 2 000 3 950 , , , , , , , , − or $3,950,000