• Interpret the quality of the income statement for this company. Is the income statement improving or deteriorating over time? Explain your answer, including why you reached your conclusion. (75150 words, or 12 paragraphs)
• Describe whether or not this company is profitable. If the company is unprofitable, explain if it is growing fast enough for sales to outpace expenses. (75 words, or 1 paragraph)
• Based on their income statement, would you invest in the company? (75 words, or 1 paragraph)

Income statement 2016 Cost of Goods Sold Gross Profit Selling & Administrative Expenses Depreciation Operating profit Interest expense Net Operating Income Tax Rate 35% Income after taxes S201,943 201,943 43,130 56,876 S301,949 13,130 S315,079 110,278 S204,801 2017 $252,768 252,768 53,753 64,826 $371,347 14,925 S386,272 135,195 S251,077 Dividend Payout 50% Retained Earnings $102,401 102,401 $125,538 125,538