13 gross profit percentage by segment : replace_table_token_5_th ( 1 ) includes gross profit from direct hire placements , which all associated costs are recorded as selling , general and administrative expenses . selling , general and administrative expenses selling , general and administrative expenses include the following categories : · compensation and benefits in the operating divisions , which includes salaries , wages and commissions earned by the company 's employment consultants and branch managers on permanent and temporary placements . · administrative compensation , which includes salaries , wages , payroll taxes and employee benefits associated with general management and the operation of the finance , legal , human resources and information technology functions . · occupancy costs , which includes office rent , depreciation and amortization , and other office operating expenses . · recruitment advertising , which includes the cost of identifying job applicants . · other selling , general and administrative expenses , which includes travel , bad debt expense , fees for outside professional services and other corporate-level expenses such as business insurance and taxes . the company 's largest selling , general and administrative expense is for compensation in the operating divisions . most of the company 's sales agents and recruiters are paid on a commission basis and receive advances against future commissions . when commissions are earned , prior advances are applied against them and the sales agent or recruiter is paid the net amount . the company recognizes the full amount as commission expense , and advance expense is reduced by the amount recovered . thus , the company 's advance expense represents the net amount of advances paid , less amounts applied against commissions , plus commission accruals for billed but uncollected revenue . selling , general and administrative expenses for the year ended september 30 , 2016 , increased by approximately $ 6.1 million to approximately $ 19.9 million as compared to the prior year of approximately $ 13.8 million . the increase was primarily related to the general selling , general and administrative expenses of agile , access and paladin following their acquisitions by the company . acquisition , integration and restructuring charges acquisition , integration and restructuring charges , legal expenses , travel expenses , finder 's fees , severance agreements and other expenses that the company has expensed as incurred and related to various transactions the company has or expects to execute . the company expects to have these expenses each quarter while we continue our growth strategy , however these expenses would not necessarily be incurred by the company on a recurring basis in normal operations , without acquisitions . 14 the acquisition , integration and restructuring charges for the year ended september 30 , 2016 , increased approximately $ 329,000 or 88 % compared with the prior year as the company continues to evaluate potential acquisitions and perform due diligence , and complete the acquisitions of paladin and access during the year . depreciation expense depreciation expense for the year ended september 30 , 2016 , increased $ 155,000 , or 88 % compared with the prior year , primarily as a result of the acquisitions and the depreciation of their property and equipment . amortization expense amortization expense for the year ended september 30 , 2016 , increased $ 1,088,000 , or 243 % compared with the prior year , primarily as a result of the acquisitions and the related amortization of their identified intangible assets . change in derivative liability change in derivative liability for the year ended september 30 , 2016 , decreased to $ 0 , compared with the prior year as a result of the brio loan being fully converted to stock in the prior year . change in contingent consideration at the time the company makes an acquisition , the company estimates contingent consideration , such as earn-outs or other guarantees that could affect the purchase price when the contingency is resolved . contingent consideration is evaluated by management each quarter or when the contingency is resolved . the change in contingent consideration with respect to the company 's acquisitions was approximately $ 1,581,000 during the year ended september 30 , 2016. the change was related to an $ 1,956,000 gain recognized from the reduction in access contingent consideration as a result of a decrease in expected ebitda , offset by a $ 375,000 loss recognized for the increase in paladin expected contingent consideration as a result of an increase in their expected ebitda . loss on extinguishment of debt loss on the extinguishment of debt for the year ended september 30 , 2016 , decreased to $ 0 , compared with the prior year as the debt was converted during the prior year . interest expense interest expense for the year ended september 30 , 2016 , increased $ 1,058,000 , or 194 % compared with the prior year primarily as a result of a new lender , the interest expense for acquisition payments and higher average borrowings during fiscal year 2016. story_separator_special_tag above ebitda covenant levels , and lender 's adjustment in accordance with the preceding sentence , have been established by lender based on borrower 's operations as conducted on september 1 , 2016 , and that any material change to such operations , whether by strategic acquisition or otherwise , will necessitate an adjustment by lender of the above ebitda covenant levels , and that lender will make such adjustments in lender 's permitted discretion . as of september 30 , 2016 , the company was in compliance with the ebitda covenant and all other administrative covenants . at september 30 , 2016 , there was approximately $ 1,250,000 available on the line of credit . the interest expense related to the lines of credit for the years ended september 30 , 2016 and 2015 approximated $ 723,000 and $ 347,000 , respectively . story_separator_special_tag the company did not record any impairment during the years ended september 30 , 2016 and 2015. stock-based compensation the company accounts for stock-based awards to employees in accordance with applicable accounting principles , which requires compensation expense related to share-based transactions , including employee stock options , to be measured and recognized in the financial statements based on a determination of the fair value of the stock options . the grant date fair value is determined using the black-scholes-merton ( `` black-scholes `` ) pricing model . for all employee stock options , we recognize expense over the requisite service period on an accelerated basis over the employee 's requisite service period ( generally the vesting period of the equity grant ) . the company 's option pricing model requires the input of highly subjective assumptions , including the expected stock price volatility , expected term , and forfeiture rate . any changes in these highly subjective assumptions significantly impact stock-based compensation expense . options awarded to purchase shares of common stock issued to non-employees in exchange for services are accounted for as variable awards in accordance with applicable accounting principles . such options are valued using the black-scholes option pricing model . see note 9 for the assumptions used to calculate the fair value of stock-based employee and non-employee compensation . upon the exercise of options , it is the company 's policy to issue new shares rather than utilizing treasury shares . segment data the company has two operating business segments a ) contract staffing services , and b ) direct hire placement . these operating segments were determined based primarily on how the chief operating decision maker views and evaluates our operations . operating results are regularly reviewed by the chief operating decision maker to make decisions about resources to be allocated to the segment and to assess its performance . other factors , including type of business , type of employee , length of employment and revenue recognition are considered in determining these operating segments . recent accounting pronouncements in september 2015 , the fasb issued asu 2015-16 - business combinations , which requires adjustments to provisional amounts recorded in business combinations to be recognized in the reporting period in which they are identified either separately on the face of the income statement or in the notes to the financial statements . asu 2015-16 is effective for annual reporting periods beginning after december 15 , 2015 and any interim periods within that period , and early adoption is permitted . we are currently evaluating asu 2015-16 to determine if this guidance will have a material impact on our financial position , results of operations or cash flows . in may 2014 , the fasb issued authoritative guidance that provides companies with a single model for use in accounting for revenue arising from contracts with customers and supersedes current revenue recognition guidance , including industry-specific revenue guidance . the new guidance requires a company to recognize revenue to depict the transfer of goods or services to a customer at an amount that reflects the consideration it expects to receive in exchange for those goods or services . it also requires additional disclosure about the nature , amount , timing and uncertainty of revenue and cash flows arising from customer contracts , including significant judgments and changes in judgments and assets recognized from costs incurred to obtain or fulfill a contract . the guidance permits companies to either apply the requirements retrospectively to all prior periods presented , or apply the requirements in the year of adoption , through a cumulative adjustment . the amended guidance also requires additional quantitative and qualitative disclosures . in march 2016 , amended guidance was issued to clarify implementation guidance on principal versus agent consideration . in april 2016 an amendment provided clarifications on determining whether a promised license provides a customer with a right to use or a right to access an entity 's intellectual property . in may 2016 an amendment provided narrow scope improvements and practical expedients to reduce the potential diversity , cost and complexity of applying new revenue standard . these amendments , as well as the original guidance , are all effective for annual and interim periods beginning after december 15 , 2017. the new standard will be effective for the company beginning january 1 , 2018 and the company intends to implement the standard with the modified retrospective approach , which recognizes the cumulative effect of application recognized on that date . the company is in the process of evaluating the impact of adoption of this guidance on its financial statements . 21 in november 2015 , the fasb issued authoritative guidance which changes how deferred taxes are classified on a company 's balance sheet . the new guidance eliminates the current requirement for companies to present deferred tax liabilities and assets as current and noncurrent in a classified balance sheet . instead , companies will be required to classify all deferred tax assets and liabilities as noncurrent . the new guidance is effective for annual reporting periods beginning after december 15 , 2016. early adoption is permitted for all entities as of the beginning of an interim or annual reporting period . the guidance may be applied either prospectively , for all deferred tax assets and liabilities , or retrospectively ( i.e . , by reclassifying the comparative balance sheet ) . if applied prospectively , entities are required to include a statement that prior periods were not retrospectively adjusted . if applied retrospectively , entities are also required to include quantitative information about the effects of the change on prior periods . except for balance sheet classification requirements related to deferred tax assets and liabilities , the company does not expect this guidance to have an effect on its financial statements . the company is in the process of evaluating the impact of adoption of this guidance on its financial statements .

liquidity and capital resources the following table sets forth certain consolidated statements of cash flows data ( in thousands ) : replace_table_token_6_th 15 as of september 30 , 2016 , the company had cash of approximately $ 2,528,000 , which was a decrease of approximately $ 3,404,000 from approximately $ 5,932,000 at september 30 , 2015. negative working capital at september 30 , 2016 was approximately $ ( 597,000 ) , as compared to working capital of approximately $ 5,636,000 for september 30 , 2015. the cash has been used primarily in the acquisitions of several entities . the company 's current ratio was approximately 96 % , a decrease of approximately 80 % from the prior year . shareholders ' equity as of september 30 , 2016 , was approximately $ 24,533,000 which represented approximately 53 % of total assets . at the company 's option , approximately $ 500,000 of its current liabilities related to the acquisitions can be paid in stock at market price , instead of cash . the net income for the year ended september 30 , 2016 , was approximately $ 1,173,000. net cash provided by ( used in ) operating activities for the years ended september 30 , 2016 and 2015 was approximately $ 723,000 and $ ( 650,000 ) , respectively . the fluctuation is due to the significant increase in accounts payable and offset by the reduction of accrued compensation and other current items . in addition to non-cash related expense for depreciation , amortization and stock compensation . net cash used in investing activities for the years ended september 30 , 2016 and 2015 was ( $ 9,515,000 ) and ( $ 2,762,000 ) respectively . the primary use of cash was for the acquisitions of access and paladin during the year ended september 30 , 2016. net cash flow provided by financing activities for the years ended september 30 , 2016 and 2015 was approximately $ 5,388,000 and $ 9,176,000 , respectively . fluctuations in financing activities are attributable to the level of net borrowings and the proceeds of the subordinated debt . all of the company 's office facilities are leased .


 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 the following table sets forth certain consolidated statements of cash flows data ( in thousands ) : replace_table_token_6_th 15 as of september 30 , 2016 , the company had cash of approximately $ 2,528,000 , which was a decrease of approximately $ 3,404,000 from approximately $ 5,932,000 at september 30 , 2015. negative working capital at september 30 , 2016 was approximately $ ( 597,000 ) , as compared to working capital of approximately $ 5,636,000 for september 30 , 2015. the cash has been used primarily in the acquisitions of several entities . the company 's current ratio was approximately 96 % , a decrease of approximately 80 % from the prior year . shareholders ' equity as of september 30 , 2016 , was approximately $ 24,533,000 which represented approximately 53 % of total assets . at the company 's option , approximately $ 500,000 of its current liabilities related to the acquisitions can be paid in stock at market price , instead of cash . the net income for the year ended september 30 , 2016 , was approximately $ 1,173,000. net cash provided by ( used in ) operating activities for the years ended september 30 , 2016 and 2015 was approximately $ 723,000 and $ ( 650,000 ) , respectively . the fluctuation is due to the significant increase in accounts payable and offset by the reduction of accrued compensation and other current items . in addition to non-cash related expense for depreciation , amortization and stock compensation . net cash used in investing activities for the years ended september 30 , 2016 and 2015 was ( $ 9,515,000 ) and ( $ 2,762,000 ) respectively . the primary use of cash was for the acquisitions of access and paladin during the year ended september 30 , 2016. net cash flow provided by financing activities for the years ended september 30 , 2016 and 2015 was approximately $ 5,388,000 and $ 9,176,000 , respectively . fluctuations in financing activities are attributable to the level of net borrowings and the proceeds of the subordinated debt . all of the company 's office facilities are leased .
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 Suspicious Activity Report : 13 gross profit percentage by segment : replace_table_token_5_th ( 1 ) includes gross profit from direct hire placements , which all associated costs are recorded as selling , general and administrative expenses . selling , general and administrative expenses selling , general and administrative expenses include the following categories : · compensation and benefits in the operating divisions , which includes salaries , wages and commissions earned by the company 's employment consultants and branch managers on permanent and temporary placements . · administrative compensation , which includes salaries , wages , payroll taxes and employee benefits associated with general management and the operation of the finance , legal , human resources and information technology functions . · occupancy costs , which includes office rent , depreciation and amortization , and other office operating expenses . · recruitment advertising , which includes the cost of identifying job applicants . · other selling , general and administrative expenses , which includes travel , bad debt expense , fees for outside professional services and other corporate-level expenses such as business insurance and taxes . the company 's largest selling , general and administrative expense is for compensation in the operating divisions . most of the company 's sales agents and recruiters are paid on a commission basis and receive advances against future commissions . when commissions are earned , prior advances are applied against them and the sales agent or recruiter is paid the net amount . the company recognizes the full amount as commission expense , and advance expense is reduced by the amount recovered . thus , the company 's advance expense represents the net amount of advances paid , less amounts applied against commissions , plus commission accruals for billed but uncollected revenue . selling , general and administrative expenses for the year ended september 30 , 2016 , increased by approximately $ 6.1 million to approximately $ 19.9 million as compared to the prior year of approximately $ 13.8 million . the increase was primarily related to the general selling , general and administrative expenses of agile , access and paladin following their acquisitions by the company . acquisition , integration and restructuring charges acquisition , integration and restructuring charges , legal expenses , travel expenses , finder 's fees , severance agreements and other expenses that the company has expensed as incurred and related to various transactions the company has or expects to execute . the company expects to have these expenses each quarter while we continue our growth strategy , however these expenses would not necessarily be incurred by the company on a recurring basis in normal operations , without acquisitions . 14 the acquisition , integration and restructuring charges for the year ended september 30 , 2016 , increased approximately $ 329,000 or 88 % compared with the prior year as the company continues to evaluate potential acquisitions and perform due diligence , and complete the acquisitions of paladin and access during the year . depreciation expense depreciation expense for the year ended september 30 , 2016 , increased $ 155,000 , or 88 % compared with the prior year , primarily as a result of the acquisitions and the depreciation of their property and equipment . amortization expense amortization expense for the year ended september 30 , 2016 , increased $ 1,088,000 , or 243 % compared with the prior year , primarily as a result of the acquisitions and the related amortization of their identified intangible assets . change in derivative liability change in derivative liability for the year ended september 30 , 2016 , decreased to $ 0 , compared with the prior year as a result of the brio loan being fully converted to stock in the prior year . change in contingent consideration at the time the company makes an acquisition , the company estimates contingent consideration , such as earn-outs or other guarantees that could affect the purchase price when the contingency is resolved . contingent consideration is evaluated by management each quarter or when the contingency is resolved . the change in contingent consideration with respect to the company 's acquisitions was approximately $ 1,581,000 during the year ended september 30 , 2016. the change was related to an $ 1,956,000 gain recognized from the reduction in access contingent consideration as a result of a decrease in expected ebitda , offset by a $ 375,000 loss recognized for the increase in paladin expected contingent consideration as a result of an increase in their expected ebitda . loss on extinguishment of debt loss on the extinguishment of debt for the year ended september 30 , 2016 , decreased to $ 0 , compared with the prior year as the debt was converted during the prior year . interest expense interest expense for the year ended september 30 , 2016 , increased $ 1,058,000 , or 194 % compared with the prior year primarily as a result of a new lender , the interest expense for acquisition payments and higher average borrowings during fiscal year 2016. story_separator_special_tag above ebitda covenant levels , and lender 's adjustment in accordance with the preceding sentence , have been established by lender based on borrower 's operations as conducted on september 1 , 2016 , and that any material change to such operations , whether by strategic acquisition or otherwise , will necessitate an adjustment by lender of the above ebitda covenant levels , and that lender will make such adjustments in lender 's permitted discretion . as of september 30 , 2016 , the company was in compliance with the ebitda covenant and all other administrative covenants . at september 30 , 2016 , there was approximately $ 1,250,000 available on the line of credit . the interest expense related to the lines of credit for the years ended september 30 , 2016 and 2015 approximated $ 723,000 and $ 347,000 , respectively . story_separator_special_tag the company did not record any impairment during the years ended september 30 , 2016 and 2015. stock-based compensation the company accounts for stock-based awards to employees in accordance with applicable accounting principles , which requires compensation expense related to share-based transactions , including employee stock options , to be measured and recognized in the financial statements based on a determination of the fair value of the stock options . the grant date fair value is determined using the black-scholes-merton ( `` black-scholes `` ) pricing model . for all employee stock options , we recognize expense over the requisite service period on an accelerated basis over the employee 's requisite service period ( generally the vesting period of the equity grant ) . the company 's option pricing model requires the input of highly subjective assumptions , including the expected stock price volatility , expected term , and forfeiture rate . any changes in these highly subjective assumptions significantly impact stock-based compensation expense . options awarded to purchase shares of common stock issued to non-employees in exchange for services are accounted for as variable awards in accordance with applicable accounting principles . such options are valued using the black-scholes option pricing model . see note 9 for the assumptions used to calculate the fair value of stock-based employee and non-employee compensation . upon the exercise of options , it is the company 's policy to issue new shares rather than utilizing treasury shares . segment data the company has two operating business segments a ) contract staffing services , and b ) direct hire placement . these operating segments were determined based primarily on how the chief operating decision maker views and evaluates our operations . operating results are regularly reviewed by the chief operating decision maker to make decisions about resources to be allocated to the segment and to assess its performance . other factors , including type of business , type of employee , length of employment and revenue recognition are considered in determining these operating segments . recent accounting pronouncements in september 2015 , the fasb issued asu 2015-16 - business combinations , which requires adjustments to provisional amounts recorded in business combinations to be recognized in the reporting period in which they are identified either separately on the face of the income statement or in the notes to the financial statements . asu 2015-16 is effective for annual reporting periods beginning after december 15 , 2015 and any interim periods within that period , and early adoption is permitted . we are currently evaluating asu 2015-16 to determine if this guidance will have a material impact on our financial position , results of operations or cash flows . in may 2014 , the fasb issued authoritative guidance that provides companies with a single model for use in accounting for revenue arising from contracts with customers and supersedes current revenue recognition guidance , including industry-specific revenue guidance . the new guidance requires a company to recognize revenue to depict the transfer of goods or services to a customer at an amount that reflects the consideration it expects to receive in exchange for those goods or services . it also requires additional disclosure about the nature , amount , timing and uncertainty of revenue and cash flows arising from customer contracts , including significant judgments and changes in judgments and assets recognized from costs incurred to obtain or fulfill a contract . the guidance permits companies to either apply the requirements retrospectively to all prior periods presented , or apply the requirements in the year of adoption , through a cumulative adjustment . the amended guidance also requires additional quantitative and qualitative disclosures . in march 2016 , amended guidance was issued to clarify implementation guidance on principal versus agent consideration . in april 2016 an amendment provided clarifications on determining whether a promised license provides a customer with a right to use or a right to access an entity 's intellectual property . in may 2016 an amendment provided narrow scope improvements and practical expedients to reduce the potential diversity , cost and complexity of applying new revenue standard . these amendments , as well as the original guidance , are all effective for annual and interim periods beginning after december 15 , 2017. the new standard will be effective for the company beginning january 1 , 2018 and the company intends to implement the standard with the modified retrospective approach , which recognizes the cumulative effect of application recognized on that date . the company is in the process of evaluating the impact of adoption of this guidance on its financial statements . 21 in november 2015 , the fasb issued authoritative guidance which changes how deferred taxes are classified on a company 's balance sheet . the new guidance eliminates the current requirement for companies to present deferred tax liabilities and assets as current and noncurrent in a classified balance sheet . instead , companies will be required to classify all deferred tax assets and liabilities as noncurrent . the new guidance is effective for annual reporting periods beginning after december 15 , 2016. early adoption is permitted for all entities as of the beginning of an interim or annual reporting period . the guidance may be applied either prospectively , for all deferred tax assets and liabilities , or retrospectively ( i.e . , by reclassifying the comparative balance sheet ) . if applied prospectively , entities are required to include a statement that prior periods were not retrospectively adjusted . if applied retrospectively , entities are also required to include quantitative information about the effects of the change on prior periods . except for balance sheet classification requirements related to deferred tax assets and liabilities , the company does not expect this guidance to have an effect on its financial statements . the company is in the process of evaluating the impact of adoption of this guidance on its financial statements .

