6 , “ shareholders ' equity ” . lastly , the company used funds for various capital projects , including those designated for the new meditrac products . those cash outflows were partially offset by income generated from operations during 2018 , as well as the receipt of the $ 1,600,000 cash bond described below . other long term assets were $ 1,307,000 and $ 3,079,000 at december 31 , 2018 and december 31 , 2017 , respectively , decreasing $ 1,772,000 ( 57.6 % ) . during may 2018 , the company received back the cash bond of approximately $ 1,600,000 , which was previously held as security during an appeals process as detailed in note 10 , commitments and contingencies . - 20 - results of operations twelve-months ended december 31 , 2018 vs. december 31 , 2017 the company reported comparative results from operations for the twelve-month period ended december 31 , 2018 and 2017 as follows : replace_table_token_4_th net sales . the company 's sales for the full year of 2018 were $ 108,313,000 , reflecting an increase of $ 6,514,000 , or 6.4 % , over $ 101,799,000 in 2017. the increase in sales resulted from an increase in unit volume , combined with higher sales prices that were necessary to help offset a rise in the company 's material costs . gross profit . the company 's gross profit margins increased slightly between the two periods , at 61.0 % and 60.7 % for the twelve-months ended december 31 , 2018 and 2017 , respectively . selling expenses . selling expenses consist primarily of employee salaries and associated overhead costs , commissions , and the cost of marketing programs such as advertising , trade shows and related communication costs , and freight . selling expense was $ 17,117,000 and $ 16,359,000 for 2018 and 2017 , respectively , representing a year over year increase of $ 758,000 , or 4.6 % . the increase was primarily attributable to an increase in freight and commissions , which change in conjunction with sales unit volume . for the same periods , selling expense as a percentage of net sales was 15.8 % and 16.1 % , respectively . general and administrative expenses . general and administrative expenses consist primarily of employee salaries , benefits for administrative , executive and finance personnel , legal and accounting , insurance , and corporate general and administrative services . general and administrative expenses were $ 17,800,000 and $ 17,897,000 for the years ended december 31 , 2018 and 2017 , respectively , decreasing $ 97,000 , or 0.5 % between periods . as a percentage of net sales , general and administrative expenses were 16.4 % and 17.6 % for the twelve-months ended december 31 , 2018 and 2017 , respectively . engineering expenses . engineering expenses consist of development expenses associated with the development of new products , and costs related to enhancements of existing products and manufacturing processes . engineering expenses increased $ 1,520,000 or 46.2 % between periods , being $ 4,813,000 and $ 3,293,000 for the years ended december 31 , 2018 and 2017 , respectively . the company had ramped up spend on experimental materials during 2018 , a majority of which related to the new meditrac products . the company also had additional staffing and consulting related charges . as a percentage of net sales for the year , engineering expenses were 4.4 % in 2018 and 3.2 % in 2017. operating profit . reflecting all of the factors mentioned above , operating profits increased $ 2,149,000 , or 8.9 % , between periods , ending with a profit of $ 26,366,000 in 2018 , compared to $ 24,217,000 in 2017. interest income . interest income is recorded on cash investments , and interest expense is recorded at times when the company has debt amounts outstanding on its line of credit . interest rates in general have improved in the market , and the company has therefore been able to purchase short-term investments during 2018 which resulted in an increase of interest income in excess of those generated from last year . there was $ 488,000 of interest income recorded during 2018 and $ 117,000 in 2017 . - 21 - other income ( expense ) . other income ( expense ) primarily consists of foreign currency exchange gains ( losses ) on transactions within our foreign subsidiaries , and therefore tends to fluctuate with the strengthening and or weakening of the british pound . the company recognized other expense of $ 126,000 and $ 38,000 during 2018 and 2017 , respectively . income tax expense . income tax expense was $ 6,451,000 during 2018 , compared to $ 8,450,000 in 2017 , decreasing by $ 1,999,000 , or 23.7 % . the company recognized a one-time tax charge of $ 709,000 during the fourth quarter of 2017 primarily related to unremitted foreign earnings resulting from the change in the tax code during the end of 2017 , described as the “ act ” , which is outlined in note 7 , “ income taxes ” . there was also a lower tax rate in effect during 2018 attributable to the act , which reduced the u.s. corporate tax rate from 35 % to 21 % , effective for the company 's 2018 tax year . the company 's tax provision also reflects other changes as a result of the act , including the impact of gilti provisions , and changes affecting the deductibility of certain executive compensation . the decrease in taxes attributable to the act , was partially offset by higher taxes associated with an increase in income before taxes . twelve-months ended december 31 , 2017 vs. december 31 , 2016 the company reported comparative results from operations for the twelve-month period ended december 31 , 2017 and 2016 as follows : replace_table_token_5_th net sales . story_separator_special_tag valuation techniques used to measure fair value must maximize the use of observable inputs and minimize the use of unobservable inputs . the standard creates a fair value hierarchy which prioritizes the inputs to valuation techniques used to measure fair value into three broad levels as follows : level 1 inputs are quoted prices ( unadjusted ) in active markets for identical assets or liabilities ; level 2 inputs are inputs other than quoted prices included within level 1 that are observable for the asset or liability , either directly or indirectly ; and level 3 inputs are unobservable inputs that reflect the company 's own assumptions about the assumptions market participants would use in pricing the asset or liability . the company relies upon level 1 inputs in determining the fair value of investments and the fair value of the company 's reporting unit in its annual impairment test as described in the fasb asc topic 350 , intangibles - goodwill and other . - 26 - earnings per common share basic earnings per share have been computed using the weighted-average number of common shares outstanding . for the periods presented , there are no dilutive securities . consequently , basic and dilutive earnings per share are the same . currency translation assets and liabilities denominated in foreign currencies are translated into u.s. dollars at exchange rates prevailing on the balance sheet dates . the statements of operations are translated into u.s. dollars at average exchange rates for the period . adjustments resulting from the translation of financial statements are excluded from the determination of income and are accumulated in a separate component of shareholders ' equity . exchange gains and losses resulting from foreign currency transactions are included in the statements of operations ( other income ( expense ) ) in the period in which they occur . income taxes the company accounts for tax liabilities in accordance with the fasb asc topic 740 , income taxes . under this method the company recorded tax expense , related deferred taxes and tax benefits , and uncertainties in tax positions . deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases . deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled . the effect on deferred tax assets and liabilities from a change in tax rates is recognized in income in the period that includes the enactment date . a valuation allowance is provided for deferred tax assets if it is more likely than not that these items will either expire before the company is able to realize the benefit , or that future deductibility is uncertain . the fasb asc topic 740 , income taxes , clarifies the criteria that an individual tax position must satisfy for some or all of the benefits of that position to be recognized in a company 's financial statements . this guidance prescribes a recognition threshold of more-likely than-not , and a measurement attribute for all tax positions taken or expected to be taken on a tax return , in order for those tax positions to be recognized in the financial statements . the company follows the provisions of asc 740-10 relative to accounting for uncertainties in tax positions . these provisions provide guidance on the recognition , de-recognition and measurement of potential tax benefits associated with tax positions . the company reflected the effects of the tax cuts and jobs act ( the “ act ” ) , in its 2017 financial statements . this included the effects of the change in the us corporate tax rate from 35 % to 21 % on deferred tax assets and liabilities , and a provision related to previously deferred taxes on earnings of the company 's foreign subsidiary . the company 's tax expense for the period ended december 31 , 2018 includes the continuing effect of the reduction in the us corporate tax rate from 35 % to 21 % , effective for the company 's 2018 tax year . the company 's tax provision also reflects other changes as a result of the act , including the impact of the global intangible low taxed income ( “ gilti ” ) provisions , and changes affecting the deductibility of certain executive compensation . - 27 - story_separator_special_tag times , serif ; margin : 0 ; text-align : justify `` > recent accounting pronouncements in may 2014 , the fasb issued asu 2014-09 , revenue from contracts with customers ( topic 606 ) , requiring an entity to recognize the amount of revenue to which it expects to be entitled for the transfer of promised goods or services to customers . the updated standard replaced most existing revenue recognition guidance in us gaap once it became effective and permitted the use of either a full retrospective or retrospective with cumulative effect transition method . the updated standard became effective for the company in the first quarter of fiscal year 2018. the company completed its review of its customer contracts and its analysis of the impact of the disclosure requirements of asu 2014-09 during 2017. the company has adopted the revenue guidance effective january 1 , 2018 , using the modified retrospective approach . the adoption of asu 2014-09 did not have a material impact on the company 's financial statements , and is not expected to have any material impact on an ongoing basis . although there is no material impact on the financial statements our accounting policy for revenue recognition has been updated as described previously in note 1 of the consolidated financial statements . in february 2016 , the fasb issued asu 2016-02 , leases ( topic 842 ) . under this asu , lessees are required

liquidity and capital resources historically , the company 's primary cash needs have been related to working capital items , which the company has largely funded through cash generated from operations . with regards to liquidity and capital resources , the company had a cash balance of $ 32,392,000 and short-term investments of $ 14,944,000 at december 31 , 2018 , and also has the full use of a $ 15,000,000 line of credit available with santander bank , as discussed in detail in note 5 to the company 's financial statements . at december 31 , 2017 , the company had cash of $ 37,938,000 and did not hold any short-term investments . operating activities cash provided by operating activities is net income adjusted for certain non-cash items and changes in certain assets and liabilities , such as those included in working capital . for 2018 , the company 's cash provided from operating activities was $ 21,058,000 , compared to $ 18,048,000 of cash provided during 2017 , thus increasing by $ 3,010,000 between periods . for 2017 , the company 's cash provided from operating activities was $ 18,048,000 , compared to $ 14,758,000 of cash provided during 2016 , thus increasing by $ 3,290,000 between periods .


 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 historically , the company 's primary cash needs have been related to working capital items , which the company has largely funded through cash generated from operations . with regards to liquidity and capital resources , the company had a cash balance of $ 32,392,000 and short-term investments of $ 14,944,000 at december 31 , 2018 , and also has the full use of a $ 15,000,000 line of credit available with santander bank , as discussed in detail in note 5 to the company 's financial statements . at december 31 , 2017 , the company had cash of $ 37,938,000 and did not hold any short-term investments . operating activities cash provided by operating activities is net income adjusted for certain non-cash items and changes in certain assets and liabilities , such as those included in working capital . for 2018 , the company 's cash provided from operating activities was $ 21,058,000 , compared to $ 18,048,000 of cash provided during 2017 , thus increasing by $ 3,010,000 between periods . for 2017 , the company 's cash provided from operating activities was $ 18,048,000 , compared to $ 14,758,000 of cash provided during 2016 , thus increasing by $ 3,290,000 between periods .
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 Suspicious Activity Report : 6 , “ shareholders ' equity ” . lastly , the company used funds for various capital projects , including those designated for the new meditrac products . those cash outflows were partially offset by income generated from operations during 2018 , as well as the receipt of the $ 1,600,000 cash bond described below . other long term assets were $ 1,307,000 and $ 3,079,000 at december 31 , 2018 and december 31 , 2017 , respectively , decreasing $ 1,772,000 ( 57.6 % ) . during may 2018 , the company received back the cash bond of approximately $ 1,600,000 , which was previously held as security during an appeals process as detailed in note 10 , commitments and contingencies . - 20 - results of operations twelve-months ended december 31 , 2018 vs. december 31 , 2017 the company reported comparative results from operations for the twelve-month period ended december 31 , 2018 and 2017 as follows : replace_table_token_4_th net sales . the company 's sales for the full year of 2018 were $ 108,313,000 , reflecting an increase of $ 6,514,000 , or 6.4 % , over $ 101,799,000 in 2017. the increase in sales resulted from an increase in unit volume , combined with higher sales prices that were necessary to help offset a rise in the company 's material costs . gross profit . the company 's gross profit margins increased slightly between the two periods , at 61.0 % and 60.7 % for the twelve-months ended december 31 , 2018 and 2017 , respectively . selling expenses . selling expenses consist primarily of employee salaries and associated overhead costs , commissions , and the cost of marketing programs such as advertising , trade shows and related communication costs , and freight . selling expense was $ 17,117,000 and $ 16,359,000 for 2018 and 2017 , respectively , representing a year over year increase of $ 758,000 , or 4.6 % . the increase was primarily attributable to an increase in freight and commissions , which change in conjunction with sales unit volume . for the same periods , selling expense as a percentage of net sales was 15.8 % and 16.1 % , respectively . general and administrative expenses . general and administrative expenses consist primarily of employee salaries , benefits for administrative , executive and finance personnel , legal and accounting , insurance , and corporate general and administrative services . general and administrative expenses were $ 17,800,000 and $ 17,897,000 for the years ended december 31 , 2018 and 2017 , respectively , decreasing $ 97,000 , or 0.5 % between periods . as a percentage of net sales , general and administrative expenses were 16.4 % and 17.6 % for the twelve-months ended december 31 , 2018 and 2017 , respectively . engineering expenses . engineering expenses consist of development expenses associated with the development of new products , and costs related to enhancements of existing products and manufacturing processes . engineering expenses increased $ 1,520,000 or 46.2 % between periods , being $ 4,813,000 and $ 3,293,000 for the years ended december 31 , 2018 and 2017 , respectively . the company had ramped up spend on experimental materials during 2018 , a majority of which related to the new meditrac products . the company also had additional staffing and consulting related charges . as a percentage of net sales for the year , engineering expenses were 4.4 % in 2018 and 3.2 % in 2017. operating profit . reflecting all of the factors mentioned above , operating profits increased $ 2,149,000 , or 8.9 % , between periods , ending with a profit of $ 26,366,000 in 2018 , compared to $ 24,217,000 in 2017. interest income . interest income is recorded on cash investments , and interest expense is recorded at times when the company has debt amounts outstanding on its line of credit . interest rates in general have improved in the market , and the company has therefore been able to purchase short-term investments during 2018 which resulted in an increase of interest income in excess of those generated from last year . there was $ 488,000 of interest income recorded during 2018 and $ 117,000 in 2017 . - 21 - other income ( expense ) . other income ( expense ) primarily consists of foreign currency exchange gains ( losses ) on transactions within our foreign subsidiaries , and therefore tends to fluctuate with the strengthening and or weakening of the british pound . the company recognized other expense of $ 126,000 and $ 38,000 during 2018 and 2017 , respectively . income tax expense . income tax expense was $ 6,451,000 during 2018 , compared to $ 8,450,000 in 2017 , decreasing by $ 1,999,000 , or 23.7 % . the company recognized a one-time tax charge of $ 709,000 during the fourth quarter of 2017 primarily related to unremitted foreign earnings resulting from the change in the tax code during the end of 2017 , described as the “ act ” , which is outlined in note 7 , “ income taxes ” . there was also a lower tax rate in effect during 2018 attributable to the act , which reduced the u.s. corporate tax rate from 35 % to 21 % , effective for the company 's 2018 tax year . the company 's tax provision also reflects other changes as a result of the act , including the impact of gilti provisions , and changes affecting the deductibility of certain executive compensation . the decrease in taxes attributable to the act , was partially offset by higher taxes associated with an increase in income before taxes . twelve-months ended december 31 , 2017 vs. december 31 , 2016 the company reported comparative results from operations for the twelve-month period ended december 31 , 2017 and 2016 as follows : replace_table_token_5_th net sales . story_separator_special_tag valuation techniques used to measure fair value must maximize the use of observable inputs and minimize the use of unobservable inputs . the standard creates a fair value hierarchy which prioritizes the inputs to valuation techniques used to measure fair value into three broad levels as follows : level 1 inputs are quoted prices ( unadjusted ) in active markets for identical assets or liabilities ; level 2 inputs are inputs other than quoted prices included within level 1 that are observable for the asset or liability , either directly or indirectly ; and level 3 inputs are unobservable inputs that reflect the company 's own assumptions about the assumptions market participants would use in pricing the asset or liability . the company relies upon level 1 inputs in determining the fair value of investments and the fair value of the company 's reporting unit in its annual impairment test as described in the fasb asc topic 350 , intangibles - goodwill and other . - 26 - earnings per common share basic earnings per share have been computed using the weighted-average number of common shares outstanding . for the periods presented , there are no dilutive securities . consequently , basic and dilutive earnings per share are the same . currency translation assets and liabilities denominated in foreign currencies are translated into u.s. dollars at exchange rates prevailing on the balance sheet dates . the statements of operations are translated into u.s. dollars at average exchange rates for the period . adjustments resulting from the translation of financial statements are excluded from the determination of income and are accumulated in a separate component of shareholders ' equity . exchange gains and losses resulting from foreign currency transactions are included in the statements of operations ( other income ( expense ) ) in the period in which they occur . income taxes the company accounts for tax liabilities in accordance with the fasb asc topic 740 , income taxes . under this method the company recorded tax expense , related deferred taxes and tax benefits , and uncertainties in tax positions . deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases . deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled . the effect on deferred tax assets and liabilities from a change in tax rates is recognized in income in the period that includes the enactment date . a valuation allowance is provided for deferred tax assets if it is more likely than not that these items will either expire before the company is able to realize the benefit , or that future deductibility is uncertain . the fasb asc topic 740 , income taxes , clarifies the criteria that an individual tax position must satisfy for some or all of the benefits of that position to be recognized in a company 's financial statements . this guidance prescribes a recognition threshold of more-likely than-not , and a measurement attribute for all tax positions taken or expected to be taken on a tax return , in order for those tax positions to be recognized in the financial statements . the company follows the provisions of asc 740-10 relative to accounting for uncertainties in tax positions . these provisions provide guidance on the recognition , de-recognition and measurement of potential tax benefits associated with tax positions . the company reflected the effects of the tax cuts and jobs act ( the “ act ” ) , in its 2017 financial statements . this included the effects of the change in the us corporate tax rate from 35 % to 21 % on deferred tax assets and liabilities , and a provision related to previously deferred taxes on earnings of the company 's foreign subsidiary . the company 's tax expense for the period ended december 31 , 2018 includes the continuing effect of the reduction in the us corporate tax rate from 35 % to 21 % , effective for the company 's 2018 tax year . the company 's tax provision also reflects other changes as a result of the act , including the impact of the global intangible low taxed income ( “ gilti ” ) provisions , and changes affecting the deductibility of certain executive compensation . - 27 - story_separator_special_tag times , serif ; margin : 0 ; text-align : justify `` > recent accounting pronouncements in may 2014 , the fasb issued asu 2014-09 , revenue from contracts with customers ( topic 606 ) , requiring an entity to recognize the amount of revenue to which it expects to be entitled for the transfer of promised goods or services to customers . the updated standard replaced most existing revenue recognition guidance in us gaap once it became effective and permitted the use of either a full retrospective or retrospective with cumulative effect transition method . the updated standard became effective for the company in the first quarter of fiscal year 2018. the company completed its review of its customer contracts and its analysis of the impact of the disclosure requirements of asu 2014-09 during 2017. the company has adopted the revenue guidance effective january 1 , 2018 , using the modified retrospective approach . the adoption of asu 2014-09 did not have a material impact on the company 's financial statements , and is not expected to have any material impact on an ongoing basis . although there is no material impact on the financial statements our accounting policy for revenue recognition has been updated as described previously in note 1 of the consolidated financial statements . in february 2016 , the fasb issued asu 2016-02 , leases ( topic 842 ) . under this asu , lessees are required

