A company's income statements for the past three years are as follows:

$(000$s$)20$Y$120$Y$220$Y$3$

Sales $ $6,495$ $ $7,486$ $ $7,990$

Cost of goods sold $5,4536,3576,308$

Gross profit $1,0421,1291,682$

SG&A expense $7588591,377$

Depreciation expense $182426$

Total operating expense $7768831,403$

Operating profit $266246279$

Loss on sale of fixed assets $007$

Interest expense $507580$

Other expenses $0422$

Income before taxes $216167170$

Taxes $1028182$

Net income $$114$ $$86$ $$88$

Which of the following best describes the company's profit margin performance?

The company$$s gross profit margin, operating profit margin and net profit margin all trended downward in $20$Y$2$ and $20$Y$3.$

Both operating profit margin and gross profit margin increased in $20$Y$2$ and $20$Y$3.$

Gross profit margin improved markedly in $20$Y$3,$ however, pre$-$tax profit margin and net profit margin remained relatively stable.

Gross profit margin, operating profit margin and net profit margin all decreased in $20$Y$2$ and then fully recovered in $20$Y$3.$