Income Statement for Xenon Manufacturing: 2008 202 -148 54 Total sales Cost of sales Gross Profit Selling, general, and administrative expenses -22 Research and development -8 Depreciation and amortization Other income Earnings before interest and taxes (EBIT) Interest income (expense). Pretax income Taxes Net Income -4 4 24 -7 14 -4 10 2009 212 -172 40 -20 -7 -3 6 16 -4 12 -3 9 Consider the above Income Statement for Xenon Manufacturing. All values are in millions of dollars. Calculate the operating margin for 2008 and 2009. What does the change in the operating margin between these two years imply about the company? Select one: A. The ability of Xenon Manufacturing to sell its goods and services for more than the costs of producing them rose between 2008 and 2009. B. The efficiency of Xenon Manufacturing has significantly fallen between 2008 and 2009. C. The leverage of Xenon Manufacturing fell slightly between 2008 and 2009. OD. The efficiency of Xenon Manufacturing has significantly risen between 2008 and 2009.

Consider the above income Statement for Xenon Manufacturing. All values are in millons of dollars. Calculate the operating margin for 2008 and 2009 . What does the change in the operating margin between these two years imply about the company? Select one A. The ability of Xenon Manufacturing to sell its goods and services for more than the costs of producing them rose between 2008 and 2009. B. The efficiency of Xenon Manufacturing has significantly fallen between 2008 and 2009. C. The leverage of Xenon Manufacturing fell shghtly between 2008 and 2009. D. The efficiency of Xenon Manufacturing has significantly fisen between 2008 and 2009. Income Statement for Xenon Manufacturing: Consider the above income Statement for Xenon Manutacturing. All values are in millions of dollars. Calculate the operating margin for 2008 and 2009 . What does the change in the operating margin between these two years imply about the company? Select one: A. The ability of Xenon Manufacturing to sell its goods and services for more than the costs of producing them rose between 2008 and 2009. B. The efficiency of Xenon Manufacturing has significantly fallen between 2008 and 2009 . C. The leverage of Xenon Manufacturing fell slightly between 2008 and 2009. D. The etficiency of Xenon Manufacturing has significantly risen between 2008 and 2009