Income statements are presented for the Elf Corporation for the years ending December 31, 2010, 2009, and 2008.

Required:
Write a one-paragraph analysis of Elf Corporation's profit performance for the period.
To the Student: The focus of this exercise is on analyzing financial data rather than simply describing the numbers and trends. Analysis involves breaking the information into parts for study, relating the pieces, making comparisons, drawing conclusions, and evaluating cause andeffect.

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Elf Corporation Income Statements for the Years Ending December 31, 2010, 2009, and 2008 (in millions) 2009 $550 $275 100 Sales Cost of goods sold Gross profit Operating expenses: Administrative Advertising and marketing Operating profit Interest expense Earnings before tax Tax expense (50%) Net income $700 350 $350 325 100 $200 $130 $ 65 $325 100 $150 $100 $ 50 $ 70