2012 2013 2014 2015 Total Market Revenue 350,000,000 402,500,000 462,875,000 Persistence Revenue 52,500,000 72,450,000 92,575,000 Depreciation -1,600,000 -2,560,000 -1,520,000 Variable Cost -19,950,000 -27,531,000 -35,178,500 General and Administrative Expense -6,300,000 -7,245,000 -7,406,000 Advertising Cost -3,000,000 -2,000,000 -2,000,000 Initial Investment -50,000,000 Total Operating Expense -50,000,000 -30,850,000 -39,336,000 -46,104,500 Interest 600,000 600,000 600,000 Income Before Taxes -50,000,000 21,650,000 33,114,000 46,470,500 Taxes 20,000,000 -8,660,000 -13,245,600 -18,588,200 Income After Taxes -30,000,000 12,990,000 19,868,400 27,882,300 Equipment Depreciation Add Back 1,600,000 2,560,000 1,520,000 Net Operating Cash Flows 14,590,000 22,428,400 29,402,300