gross profit margin improved by 280 basis points to 48.1 % for fiscal 2018 primarily due to product mix , as a greater portion of the sales growth was from higher margin multi-axis systems and integrated coating systems . in addition , our fixed overhead costs marginally decreased during fiscal 2018. operating expenses : replace_table_token_5_th 9 research and product development : research and product development costs increased $ 4,000 to $ 1,280,000 for fiscal 2018 as compared with $ 1,276,000 for the prior fiscal year . for fiscal 2018 , we experienced decreases in engineering materials and supplies expense and engineering salaries . these decreases were partially offset by increases in health insurance and depreciation . marketing and selling : marketing and selling costs increased $ 299,000 to $ 2,516,000 for fiscal 2018 as compared with $ 2,217,000 for the prior fiscal year . for fiscal 2018 , we experienced increases in sales salaries , international commission expense and health insurance . these increases were partially offset by decreased depreciation and other miscellaneous expenses . during fiscal 2018 , we expended approximately $ 530,000 for commissions as compared with $ 417,000 for the prior fiscal year , an increase of $ 113,000 resulting primarily from increased sales . during fiscal 2018 , we expended approximately $ 280,000 for advertising and trade show expense compared with $ 286,000 for the prior fiscal year , a decrease of $ 6,000. general and administrative : general and administrative costs increased $ 70,000 to $ 1,118,000 for fiscal 2018 as compared with $ 1,048,000 , for the prior fiscal year ended february 28 , 2017. for fiscal 2018 , we experienced increases in salary expense , health insurance and corporate and other miscellaneous expenses . these increases were partially offset by decreases in professional fees and stock based compensation expense . operating income ( loss ) : we maintained or increased spending levels for new product development and sales and marketing as we continued to address market expansion opportunities . however , as a percentage of net sales , operating expenses were down 250 basis points to 44.6 % in fiscal 2018. as a result , fiscal 2018 operating income increased significantly to $ 382,000 , from an operating loss of $ 179,000 for the prior fiscal year , and the operating margin improved to 3.5 % . interest expense : interest expense decreased to $ 46,000 for fiscal 2018 as compared with $ 52,000 for the prior fiscal year . interest and dividend income : interest and dividend income increased to $ 91,000 for fiscal 2018 as compared with $ 71,000 for the prior fiscal year . our present investment policy is to invest excess cash in highly liquid , lower risk fixed income mutual funds . at february 28 , 2018 , the majority of our holdings are rated at or above investment grade . other income : included in other income is the net revenue related to the rental of the company 's real estate . for fiscal 2018 , the company 's rental revenue was $ 77,800 , expenses were $ 58,900 and the net revenue was $ 18,900. for fiscal 2017 , the company 's rental revenue was $ 89,000 , expenses were $ 59,000 and the net revenue was $ 30,000. in addition , during fiscal 2017 , we received a payout of $ 200,000 in life insurance proceeds from the death of a former employee . income tax expense ( benefit ) : we recorded income tax expense of $ 92,000 for fiscal 2018 compared with a benefit of $ 19,000 for the prior fiscal year . the details of the current year 's tax expense are explained in note 11 in our financial statements . net income : for fiscal 2018 , net income increased to $ 368,000 from $ 96,000 for the prior fiscal year , which was due to higher revenue and gross profit margin which was partially offset by an increase in operating expenses and income tax expense . for fiscal 2018 and 2017 , we do not believe that our sales revenue or net income has been adversely affected by the impact of inflation or changing prices . 10 other comprehensive income ( loss ) net unrealized income ( loss ) on marketable securities : as of february 28 , 2018 , certain of our marketable securities were in an unrealized gain position . unrealized gains and losses are principally due to changes in the fair value of our investments held as available-for-sale . because the company has the ability and intent to hold the securities for the foreseeable future as classified as available-for-sale , the company does not deem these unrealized gains or losses to be other than temporary . for fiscal 2018 , the unrealized gain on our available-for-sale marketable securities was $ 59,000 compared with $ 112,000 for the prior fiscal year . story_separator_special_tag style= `` margin-top : 12pt ; margin-bottom : 6pt ; padding-bottom : 2pt ; border-bottom : rgb ( 98,145,178 ) 2pt solid `` > 12 the new revenue standard is principle based and interpretation of those principles may vary from company to company based on their unique circumstances . it is possible that interpretation , industry practice , and guidance may evolve as companies and the accounting profession work to implement this new standard . the company is still in the process of evaluating the effect of the new standard on the company 's historical financial statements and disclosures . while the company has not completed its evaluation , the company currently believes that the impact to revenue and expense recognized will not be material to any of the years presented . in february 2018 , the fasb issued asu 2018-02 , income statement - reporting comprehensive income ( topic 220 ) , “ reclassification of certain tax effects from accumulated other comprehensive income ” . asu 2018-02 was issued to allow the reclassification from story_separator_special_tag gross profit margin improved by 280 basis points to 48.1 % for fiscal 2018 primarily due to product mix , as a greater portion of the sales growth was from higher margin multi-axis systems and integrated coating systems . in addition , our fixed overhead costs marginally decreased during fiscal 2018. operating expenses : replace_table_token_5_th 9 research and product development : research and product development costs increased $ 4,000 to $ 1,280,000 for fiscal 2018 as compared with $ 1,276,000 for the prior fiscal year . for fiscal 2018 , we experienced decreases in engineering materials and supplies expense and engineering salaries . these decreases were partially offset by increases in health insurance and depreciation . marketing and selling : marketing and selling costs increased $ 299,000 to $ 2,516,000 for fiscal 2018 as compared with $ 2,217,000 for the prior fiscal year . for fiscal 2018 , we experienced increases in sales salaries , international commission expense and health insurance . these increases were partially offset by decreased depreciation and other miscellaneous expenses . during fiscal 2018 , we expended approximately $ 530,000 for commissions as compared with $ 417,000 for the prior fiscal year , an increase of $ 113,000 resulting primarily from increased sales . during fiscal 2018 , we expended approximately $ 280,000 for advertising and trade show expense compared with $ 286,000 for the prior fiscal year , a decrease of $ 6,000. general and administrative : general and administrative costs increased $ 70,000 to $ 1,118,000 for fiscal 2018 as compared with $ 1,048,000 , for the prior fiscal year ended february 28 , 2017. for fiscal 2018 , we experienced increases in salary expense , health insurance and corporate and other miscellaneous expenses . these increases were partially offset by decreases in professional fees and stock based compensation expense . operating income ( loss ) : we maintained or increased spending levels for new product development and sales and marketing as we continued to address market expansion opportunities . however , as a percentage of net sales , operating expenses were down 250 basis points to 44.6 % in fiscal 2018. as a result , fiscal 2018 operating income increased significantly to $ 382,000 , from an operating loss of $ 179,000 for the prior fiscal year , and the operating margin improved to 3.5 % . interest expense : interest expense decreased to $ 46,000 for fiscal 2018 as compared with $ 52,000 for the prior fiscal year . interest and dividend income : interest and dividend income increased to $ 91,000 for fiscal 2018 as compared with $ 71,000 for the prior fiscal year . our present investment policy is to invest excess cash in highly liquid , lower risk fixed income mutual funds . at february 28 , 2018 , the majority of our holdings are rated at or above investment grade . other income : included in other income is the net revenue related to the rental of the company 's real estate . for fiscal 2018 , the company 's rental revenue was $ 77,800 , expenses were $ 58,900 and the net revenue was $ 18,900. for fiscal 2017 , the company 's rental revenue was $ 89,000 , expenses were $ 59,000 and the net revenue was $ 30,000. in addition , during fiscal 2017 , we received a payout of $ 200,000 in life insurance proceeds from the death of a former employee . income tax expense ( benefit ) : we recorded income tax expense of $ 92,000 for fiscal 2018 compared with a benefit of $ 19,000 for the prior fiscal year . the details of the current year 's tax expense are explained in note 11 in our financial statements . net income : for fiscal 2018 , net income increased to $ 368,000 from $ 96,000 for the prior fiscal year , which was due to higher revenue and gross profit margin which was partially offset by an increase in operating expenses and income tax expense . for fiscal 2018 and 2017 , we do not believe that our sales revenue or net income has been adversely affected by the impact of inflation or changing prices . 10 other comprehensive income ( loss ) net unrealized income ( loss ) on marketable securities : as of february 28 , 2018 , certain of our marketable securities were in an unrealized gain position . unrealized gains and losses are principally due to changes in the fair value of our investments held as available-for-sale . because the company has the ability and intent to hold the securities for the foreseeable future as classified as available-for-sale , the company does not deem these unrealized gains or losses to be other than temporary . for fiscal 2018 , the unrealized gain on our available-for-sale marketable securities was $ 59,000 compared with $ 112,000 for the prior fiscal year . story_separator_special_tag style= `` margin-top : 12pt ; margin-bottom : 6pt ; padding-bottom : 2pt ; border-bottom : rgb ( 98,145,178 ) 2pt solid `` > 12 the new revenue standard is principle based and interpretation of those principles may vary from company to company based on their unique circumstances . it is possible that interpretation , industry practice , and guidance may evolve as companies and the accounting profession work to implement this new standard . the company is still in the process of evaluating the effect of the new standard on the company 's historical financial statements and disclosures . while the company has not completed its evaluation , the company currently believes that the impact to revenue and expense recognized will not be material to any of the years presented . in february 2018 , the fasb issued asu 2018-02 , income statement - reporting comprehensive income ( topic 220 ) , “ reclassification of certain tax effects from accumulated other comprehensive income ” . asu 2018-02 was issued to allow the reclassification from

liquidity and capital resources working capital - our working capital increased $ 490,000 from $ 6,070,000 at february 28 , 2017 to $ 6,560,000 at february 28 , 2018. the increase in working capital is due to net income of $ 368,000 and our non-cash items , including $ 399,000 for depreciation and amortization , $ 42,000 for stock based compensation , $ 59,000 for an increase in the market values of our available-for-sale investments , and $ 33,000 for an increase in our deferred tax expense . these non-cash expenses were partially offset by cash outflows of $ 189,000 for the purchase of equipment and furnishings and $ 156,000 for the repayment of notes payable . the company 's current ratio was 4.08 to 1 at february 28 , 2018 as compared with 5.19 to 1 at february 28 , 2017. the aggregate balance of cash and marketable securities increased $ 1,523,000 during fiscal 2018. at february 28 , 2018 , our working capital included $ 2,016,000 of cash and $ 4,406,000 of marketable securities , a total of $ 6,422,000. at february 28 , 2017 , our working capital included $ 2,557,000 of cash and $ 2,342,000 of marketable securities , a total of $ 4,899,000. stockholders ' equity - stockholders ' equity increased $ 469,000 from $ 7,923,000 at february 28 , 2017 to $ 8,392,000 at february 28 , 2018. the increase in stockholders ' equity is the result of the current year 's net income of $ 368,000 , stock based compensation of $ 42,000 , and an increase in our accumulated comprehensive income of $ 59,000. operating activities – our operating activities provided $ 1,802,000 of cash for fiscal 2018 as compared with providing $ 1,029,000 for the prior fiscal year .


 Write a concise suspicious activity report of the following text delimited by triple backquotes. Return your response as a formal report which covers the key points highlighting the location,dates,entity names and account holder information in chronological order of the text.
     ```liquidity and capital resources working capital - our working capital increased $ 490,000 from $ 6,070,000 at february 28 , 2017 to $ 6,560,000 at february 28 , 2018. the increase in working capital is due to net income of $ 368,000 and our non-cash items , including $ 399,000 for depreciation and amortization , $ 42,000 for stock based compensation , $ 59,000 for an increase in the market values of our available-for-sale investments , and $ 33,000 for an increase in our deferred tax expense . these non-cash expenses were partially offset by cash outflows of $ 189,000 for the purchase of equipment and furnishings and $ 156,000 for the repayment of notes payable . the company 's current ratio was 4.08 to 1 at february 28 , 2018 as compared with 5.19 to 1 at february 28 , 2017. the aggregate balance of cash and marketable securities increased $ 1,523,000 during fiscal 2018. at february 28 , 2018 , our working capital included $ 2,016,000 of cash and $ 4,406,000 of marketable securities , a total of $ 6,422,000. at february 28 , 2017 , our working capital included $ 2,557,000 of cash and $ 2,342,000 of marketable securities , a total of $ 4,899,000. stockholders ' equity - stockholders ' equity increased $ 469,000 from $ 7,923,000 at february 28 , 2017 to $ 8,392,000 at february 28 , 2018. the increase in stockholders ' equity is the result of the current year 's net income of $ 368,000 , stock based compensation of $ 42,000 , and an increase in our accumulated comprehensive income of $ 59,000. operating activities – our operating activities provided $ 1,802,000 of cash for fiscal 2018 as compared with providing $ 1,029,000 for the prior fiscal year .
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 Suspicious Activity Report : gross profit margin improved by 280 basis points to 48.1 % for fiscal 2018 primarily due to product mix , as a greater portion of the sales growth was from higher margin multi-axis systems and integrated coating systems . in addition , our fixed overhead costs marginally decreased during fiscal 2018. operating expenses : replace_table_token_5_th 9 research and product development : research and product development costs increased $ 4,000 to $ 1,280,000 for fiscal 2018 as compared with $ 1,276,000 for the prior fiscal year . for fiscal 2018 , we experienced decreases in engineering materials and supplies expense and engineering salaries . these decreases were partially offset by increases in health insurance and depreciation . marketing and selling : marketing and selling costs increased $ 299,000 to $ 2,516,000 for fiscal 2018 as compared with $ 2,217,000 for the prior fiscal year . for fiscal 2018 , we experienced increases in sales salaries , international commission expense and health insurance . these increases were partially offset by decreased depreciation and other miscellaneous expenses . during fiscal 2018 , we expended approximately $ 530,000 for commissions as compared with $ 417,000 for the prior fiscal year , an increase of $ 113,000 resulting primarily from increased sales . during fiscal 2018 , we expended approximately $ 280,000 for advertising and trade show expense compared with $ 286,000 for the prior fiscal year , a decrease of $ 6,000. general and administrative : general and administrative costs increased $ 70,000 to $ 1,118,000 for fiscal 2018 as compared with $ 1,048,000 , for the prior fiscal year ended february 28 , 2017. for fiscal 2018 , we experienced increases in salary expense , health insurance and corporate and other miscellaneous expenses . these increases were partially offset by decreases in professional fees and stock based compensation expense . operating income ( loss ) : we maintained or increased spending levels for new product development and sales and marketing as we continued to address market expansion opportunities . however , as a percentage of net sales , operating expenses were down 250 basis points to 44.6 % in fiscal 2018. as a result , fiscal 2018 operating income increased significantly to $ 382,000 , from an operating loss of $ 179,000 for the prior fiscal year , and the operating margin improved to 3.5 % . interest expense : interest expense decreased to $ 46,000 for fiscal 2018 as compared with $ 52,000 for the prior fiscal year . interest and dividend income : interest and dividend income increased to $ 91,000 for fiscal 2018 as compared with $ 71,000 for the prior fiscal year . our present investment policy is to invest excess cash in highly liquid , lower risk fixed income mutual funds . at february 28 , 2018 , the majority of our holdings are rated at or above investment grade . other income : included in other income is the net revenue related to the rental of the company 's real estate . for fiscal 2018 , the company 's rental revenue was $ 77,800 , expenses were $ 58,900 and the net revenue was $ 18,900. for fiscal 2017 , the company 's rental revenue was $ 89,000 , expenses were $ 59,000 and the net revenue was $ 30,000. in addition , during fiscal 2017 , we received a payout of $ 200,000 in life insurance proceeds from the death of a former employee . income tax expense ( benefit ) : we recorded income tax expense of $ 92,000 for fiscal 2018 compared with a benefit of $ 19,000 for the prior fiscal year . the details of the current year 's tax expense are explained in note 11 in our financial statements . net income : for fiscal 2018 , net income increased to $ 368,000 from $ 96,000 for the prior fiscal year , which was due to higher revenue and gross profit margin which was partially offset by an increase in operating expenses and income tax expense . for fiscal 2018 and 2017 , we do not believe that our sales revenue or net income has been adversely affected by the impact of inflation or changing prices . 10 other comprehensive income ( loss ) net unrealized income ( loss ) on marketable securities : as of february 28 , 2018 , certain of our marketable securities were in an unrealized gain position . unrealized gains and losses are principally due to changes in the fair value of our investments held as available-for-sale . because the company has the ability and intent to hold the securities for the foreseeable future as classified as available-for-sale , the company does not deem these unrealized gains or losses to be other than temporary . for fiscal 2018 , the unrealized gain on our available-for-sale marketable securities was $ 59,000 compared with $ 112,000 for the prior fiscal year . story_separator_special_tag style= `` margin-top : 12pt ; margin-bottom : 6pt ; padding-bottom : 2pt ; border-bottom : rgb ( 98,145,178 ) 2pt solid `` > 12 the new revenue standard is principle based and interpretation of those principles may vary from company to company based on their unique circumstances . it is possible that interpretation , industry practice , and guidance may evolve as companies and the accounting profession work to implement this new standard . the company is still in the process of evaluating the effect of the new standard on the company 's historical financial statements and disclosures . while the company has not completed its evaluation , the company currently believes that the impact to revenue and expense recognized will not be material to any of the years presented . in february 2018 , the fasb issued asu 2018-02 , income statement - reporting comprehensive income ( topic 220 ) , “ reclassification of certain tax effects from accumulated other comprehensive income ” . asu 2018-02 was issued to allow the reclassification from story_separator_special_tag gross profit margin improved by 280 basis points to 48.1 % for fiscal 2018 primarily due to product mix , as a greater portion of the sales growth was from higher margin multi-axis systems and integrated coating systems . in addition , our fixed overhead costs marginally decreased during fiscal 2018. operating expenses : replace_table_token_5_th 9 research and product development : research and product development costs increased $ 4,000 to $ 1,280,000 for fiscal 2018 as compared with $ 1,276,000 for the prior fiscal year . for fiscal 2018 , we experienced decreases in engineering materials and supplies expense and engineering salaries . these decreases were partially offset by increases in health insurance and depreciation . marketing and selling : marketing and selling costs increased $ 299,000 to $ 2,516,000 for fiscal 2018 as compared with $ 2,217,000 for the prior fiscal year . for fiscal 2018 , we experienced increases in sales salaries , international commission expense and health insurance . these increases were partially offset by decreased depreciation and other miscellaneous expenses . during fiscal 2018 , we expended approximately $ 530,000 for commissions as compared with $ 417,000 for the prior fiscal year , an increase of $ 113,000 resulting primarily from increased sales . during fiscal 2018 , we expended approximately $ 280,000 for advertising and trade show expense compared with $ 286,000 for the prior fiscal year , a decrease of $ 6,000. general and administrative : general and administrative costs increased $ 70,000 to $ 1,118,000 for fiscal 2018 as compared with $ 1,048,000 , for the prior fiscal year ended february 28 , 2017. for fiscal 2018 , we experienced increases in salary expense , health insurance and corporate and other miscellaneous expenses . these increases were partially offset by decreases in professional fees and stock based compensation expense . operating income ( loss ) : we maintained or increased spending levels for new product development and sales and marketing as we continued to address market expansion opportunities . however , as a percentage of net sales , operating expenses were down 250 basis points to 44.6 % in fiscal 2018. as a result , fiscal 2018 operating income increased significantly to $ 382,000 , from an operating loss of $ 179,000 for the prior fiscal year , and the operating margin improved to 3.5 % . interest expense : interest expense decreased to $ 46,000 for fiscal 2018 as compared with $ 52,000 for the prior fiscal year . interest and dividend income : interest and dividend income increased to $ 91,000 for fiscal 2018 as compared with $ 71,000 for the prior fiscal year . our present investment policy is to invest excess cash in highly liquid , lower risk fixed income mutual funds . at february 28 , 2018 , the majority of our holdings are rated at or above investment grade . other income : included in other income is the net revenue related to the rental of the company 's real estate . for fiscal 2018 , the company 's rental revenue was $ 77,800 , expenses were $ 58,900 and the net revenue was $ 18,900. for fiscal 2017 , the company 's rental revenue was $ 89,000 , expenses were $ 59,000 and the net revenue was $ 30,000. in addition , during fiscal 2017 , we received a payout of $ 200,000 in life insurance proceeds from the death of a former employee . income tax expense ( benefit ) : we recorded income tax expense of $ 92,000 for fiscal 2018 compared with a benefit of $ 19,000 for the prior fiscal year . the details of the current year 's tax expense are explained in note 11 in our financial statements . net income : for fiscal 2018 , net income increased to $ 368,000 from $ 96,000 for the prior fiscal year , which was due to higher revenue and gross profit margin which was partially offset by an increase in operating expenses and income tax expense . for fiscal 2018 and 2017 , we do not believe that our sales revenue or net income has been adversely affected by the impact of inflation or changing prices . 10 other comprehensive income ( loss ) net unrealized income ( loss ) on marketable securities : as of february 28 , 2018 , certain of our marketable securities were in an unrealized gain position . unrealized gains and losses are principally due to changes in the fair value of our investments held as available-for-sale . because the company has the ability and intent to hold the securities for the foreseeable future as classified as available-for-sale , the company does not deem these unrealized gains or losses to be other than temporary . for fiscal 2018 , the unrealized gain on our available-for-sale marketable securities was $ 59,000 compared with $ 112,000 for the prior fiscal year . story_separator_special_tag style= `` margin-top : 12pt ; margin-bottom : 6pt ; padding-bottom : 2pt ; border-bottom : rgb ( 98,145,178 ) 2pt solid `` > 12 the new revenue standard is principle based and interpretation of those principles may vary from company to company based on their unique circumstances . it is possible that interpretation , industry practice , and guidance may evolve as companies and the accounting profession work to implement this new standard . the company is still in the process of evaluating the effect of the new standard on the company 's historical financial statements and disclosures . while the company has not completed its evaluation , the company currently believes that the impact to revenue and expense recognized will not be material to any of the years presented . in february 2018 , the fasb issued asu 2018-02 , income statement - reporting comprehensive income ( topic 220 ) , “ reclassification of certain tax effects from accumulated other comprehensive income ” . asu 2018-02 was issued to allow the reclassification from

