Use the tables to answer the questions

10 Introductory Exercises EXHIBIT 1 Magnetronics, Inc. Consolidated Income Statements for Years Ending December 31, 1995 and 1999 (thousands of dollars) 1995 1999 Net sales $48,769 29,700 13,330$19,069 16,541 517 2,011 704 1,307 $32,513 Cost of goods sold Gross profit Operating expenses Interest expenses Income before taxes Federal income taxes Net income 19,183 10,758 2.211 361 1,040 EXHIBIT 2 Magnetronics, Inc. Consolidated Balance Sheets at December 31, 1995 and 1999 (thousandsCurrent assets of dollars) 1995 1999 Cash Accounts receivable Inventories s 1,617 5,227 4,032 $10,876 4,073 $14,949 S 2,020 7,380 8,220 $17,620 5,160 22780 Net fixed assets Total assets S 864 1,615 028 4,507 2,750 7,692 s 1,213 2,820 3,498 Notes payable, banks Accounts payable Accrued expenses and taxes Current liabilities Long-term debt Stockholders' equity Total liabilities and stockholders equity 3,056 12,193 $14,949