1. Fluctuation, Inc., recorded the following profit figures in 2011-2013. (10 pts.) 2013 2012 2011 Net sales $30,500 $25,600 $22,900 Costs and expenses: Cost of products sold $12,600 $10,300 $8,530 Selling $7,875 $5,205 $4,580 General $2,950 $2,235 $2,150 Research and development $4,100 $3,190 $2,840 $27,525 $20,930 $18,100 Operating income $2,975 $4,670 $4,800 Other income (expense) $525 ($300) ($400) Earnings before tax $3,500 $4,370 $4,400 Income tax $1,480 $1,990 $2,100 Net income $2,020 $2,380 $2,300

A. Compute the gross profit margin for each year (6)

B. Using plain language, explain what the ratio tells the user and interpret the trend. (4) (Points : 10)