1-Based on this horizontal analysis, is the company's financial performance healthy? Why or why not? 2-Do you think that the company should continue their Product line of business? Why or why not? 3-Using an excel formula, what is the Profit Margin ratio for year 2?

	2015	2016	Variance	%
Product Income	$ 31,000.00	$ 27,000.00	$ (4,000.00	-13%
Service Income	54,000.00	62,000.00	8,000.00	15%
Total Revenue	85,000.00	89,000.00	4,000.00	5%
Cost of Goods Sold	34,000.00	29,500.00	(4,500.00)	-13%
Expenses
Advertising Expense	2,400.00	2,700.00	300.00	13%
Automobile Expense	500.00	375.00	(125.00)	-25%
Insurance Expense	750.00	750.00	-	0%
Rent Expense	6,600.00	6,600.00	-	0%
Depreciation Expense	8,300.00	5,600.00	(2,700.00)	-33%
Delivery Expense	877.00	650.00	(227.00)	-26%
Office Expense	1,260.00	956.00	(304.00)	-24%
Repairs Expense	440.00	320.00	(120.00)	-27%
Total Expenses	21,127.00	17,951.00	(3,176.00)	-15%
Net Income	$ 29,873.00	$ 41,549.00	$ 11,676.00	39%