Income statements are presented for the Elf Corporation for theyears ending December 31, 2

Income statements are presented for the Elf Corporation for theyears ending December 31, 2

Income statements are presented for the Elf Corporation for theyears ending December 31, 2016, 2015 and 2014. Elf CorporationIncome Statements for the Years Ending December 31, 2016, 2015, and2014 (in millions) 2016 2015 2014 Sales 700 650 550 Cost of goodssold 350 325 275 Gross Profit $350 $325 $275 Operating expenses:Administrative 100 100 100 Advertising and marketing 50 75 75Operating Profit $200 $150 $100 Interest Expense 70 50 30 EarningsBefore Tax $130 $100 $70 Tax Expense (50%) 65 50 35 Net income $65$50 $35 Write an analysis of Elf Corporation’s profit performancefor the period. Relating pieces, making comparisons, conclusionsand evaluating cause and effect.