=+ Discuss some possible causes ofthe apparent weakening ofthe current position, while sales and net income have increased substantially.

•/ a.Jaribo net income:

$85,000; 6.8% of sales Revenue and expense data for Jazz-Tech Communications Co. are as follows:

2008 2007 Sales $750,000 $600,000 Cost of goods sold 450,000 312,000 Selling expenses 120,000 126,000 Administrative expenses 105,000 84,000 Income tax expense 37,500 30,000