International Data Systems' information on revenue and costs is relevant only up to a sales volume of 117,000 units. After 117,000 units, the market becomes saturated and the price per unit falls from $20.00 to $11.80. Also, there are cost overruns at a production volume of over 117,000 units, and variable cost per unit goes up from $10.00 to $10.50. Fixed costs remain the same at $67,000. Compute operating income at 117,000 units. Operating Income?

Quick computing currently sells 12 million computer chips each year at a price of $19 per chip. it is about to introduce a new chip, and it forecasts annual sales of 22 million of these improved chips at a price of $24 each. however, demand for the old chip will decrease, and sales of the old chip are expected to fall to 6 million per year. the old chips cost $10 each to manufacture, and the new ones will cost $14 each. what is the proper cash flow to use to evaluate the present value of the introduction of the new chip? (enter your answer in millions.)