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Question 5 (6 marks) Lincoln Company developed a product that has been produced and sold between 2003 and 2008. Sales increased over time and then reduced until the product was abandoned at the end of 2008. Margins and expenses both fluctuated during the lifecycle of the product. The relevant data from each year’s financial reports are shown in the following table: 2003 2004 2005 2006 2007 2008 Sales 100,000 120,000 175,000 325,000 300,000 150,000 Gross margin 25% 30% 35% 25% 20% 15% Expenses 45,000 65,000 30,000 25,000 30,000 30,000 Calculate the product’s profitability each year and over the lifecycle (2 MARKS) and draw appropriate conclusions (4 MARKS).