SUBJECT: COST CONTROL/ACCOUNTINGI. ANALYSIS. Assess the current status of the company by referring to the given problem and the financial statement provided.Make sure to assess the following parts of the Income Statement:1.Revenue/Sales2.Cost of Sales3.Gross Profit4.Operating Expenses5.Net Profit(FOR OPERATING EXPENSES AND NET PROFIT ONLY): Provide POSITIVE and NEGATIVE observations in connection with the financial status of the company and provide some strategies to improve the current financial status.

Income Statement 2019 and 2020 Revenue 2019 2020 Food Sales 2,490.760 3,780.000 Beverage Sales 1.524,340 2,140.000 Merchandise Sales 990 568 1,021 960 Total Sales 5,005.668 6,941.960 Cost of Sales Food Cost 1,131,194 1,452,110 Beverage Cost 644.270 861 681 Merchandise Cost 350.122 420.039 Total Cost of Sales 2,125.586 2,733.830 Gross Profit Food 1,359,566 2,327,890 Beverage 880.070 1,278.319 Merchandise 640.446 601.921 Total Gross Profit 2,880,082 4,208,130 Operating Expenses Accounting 32,000 48,000 Depreciation 100,000 180,000 Donation 20,000 50,000 Utilities 133,600 183.800 Insurance 80,000 80 000 Advertising 67,880 97,680 Rentals 480,000 540.000 Salaries 1,423,160 1,843.500 Maintenance 141,880 141.880 Telephone 51,400 56,800 Transportation 105.920 150.670 Total Operating Expenses 2,635,840 3,372 330 Operating Income 244,242 835,800 Interest 94.879 94,880 Income before Income Taxes 149,363 740,920 Income Taxes 17.924 89,910 Net Profit/Loss 131,439 652,010 Observation / Assessment Strategies Operating Expenses Positive Negative Net Profit Positive Negative