the lifeboat distribution segment distributes technical software to corporate resellers , value added resellers ( vars ) , consultants and systems integrators worldwide . the techxtend segment is a value-added reseller of software , hardware and services for corporations , government organizations and academic institutions in the usa and canada . we offer an extensive line of products from leading publishers of software and tools for virtualization/cloud computing , security , networking , storage and infrastructure management , application lifecycle management and other technically sophisticated domains as well as computer hardware . we market these products through direct sales , the internet , our catalogs , direct mail programs , advertisements in trade magazines and e-mail promotions . forward-looking statements this report includes forward-looking statements within the meaning of section 21e of the exchange act . statements in this report regarding future events or conditions , including but not limited to statements regarding industry prospects and the company 's expected financial position , business and financing plans , are forward-looking statements . although the company believes that the expectations reflected in such forward-looking statements are reasonable , it can give no assurance that such expectations will prove to have been correct . we strongly urge current and prospective investors to carefully consider the cautionary statements and risks contained in this report , particularly the risks described under item 1a . risk factors above . such risks include , but are not limited to , the continued acceptance of the company 's distribution channel by vendors and customers , the timely availability and acceptance of new products , contribution of key vendor relationships and support programs , as well as factors that affect the software industry generally . the company operates in a rapidly changing business , and new risk factors emerge from time to time . management can not predict every risk factor , nor can it assess the impact , if any , of all such risk factors on the company 's business or the extent to which any factor , or combination of factors , may cause actual results to differ materially from those projected in any forward-looking statements . accordingly , forward-looking statements should not be relied upon as a prediction of actual results and readers are cautioned not to place undue reliance on these forward-looking statements , which speak only as of their dates . the company undertakes no obligation to publicly update or revise any forward-looking statements , whether as a result of new information , future events or otherwise . 14 the statements concerning future sales , future gross profit margin and future selling and administrative expenses are forward looking statements involving certain risks and uncertainties such as availability of products , product mix , pricing pressures , market conditions and other factors , which could result in a fluctuation of sales below recent experience . stock volatility . the technology sector of the united states stock markets has experienced substantial volatility in recent periods . numerous conditions which impact the technology sector or the stock market in general or the company in particular , whether or not such events relate to or reflect upon the company 's operating performance , could adversely affect the market price of the company 's common stock . furthermore , fluctuations in the company 's operating results , announcements regarding litigation , the loss of a significant vendor or customer , increased competition , reduced vendor incentives and trade credit , higher postage and operating expenses , and other developments , could have a significant impact on the market price of the company 's common stock . financial overview net sales totaled $ 382.0 million in 2015 as compared to $ 340.8 million in 2014 , representing a 12 % increase . gross profit increased by $ 1.8 million or 7 % in 2015 as compared to 2014. selling , general and administrative ( sg & a ) expenses increased by $ 1.6 million in 2015 as compared to 2014. income from operations amounted to $ 8.5 million in 2015 from $ 8.3 million in 2014 , representing an increase of $ 0.2 million or 3 % as compared to 2014. the increase in income from operations resulted from an increase in gross profit offset by the increase in sg & a expenses . our income before provision for income taxes increased by $ 0.1 million to $ 8.9 million in 2015 compared to $ 8.8 million in 2014. we reported net income of $ 5.8 million for both 2015 and 2014. the company 's sales , gross profit and results of operations have fluctuated and are expected to continue to fluctuate on a quarterly basis as a result of a number of factors , including but not limited to : the condition of the software industry in general , shifts in demand for software products , pricing , level of extended payment terms sales transactions , industry shipments of new software products or upgrades , fluctuations in merchandise returns , adverse weather conditions that affect response , distribution or shipping , shifts in the timing of holidays and changes in the company 's product offerings . the company 's operating expenditures are based on sales forecasts . if sales do not meet expectations in any given quarter , operating results may be materially adversely affected . results of operations the following table sets forth for the years indicated the percentage of net sales represented by selected items reflected in the company 's consolidated statements of earnings . story_separator_special_tag the current year effective tax rate was 34.2 % compared to 32.1 % in 2013. the current year effective tax rates are higher primarily due to the fact that the prior year included an adjustment to reflect a change in state apportionment rules . as of december 31 , 2014 , the company had a u.s. deferred tax asset of approximately $ 0.4 million . for the year ended december 31 , 2013 , the company recorded a provision for income taxes of $ 3.0 million which consists of a provision of $ 2.9 million for u.s. federal income taxes , as well as a $ 0.1 million provision for foreign taxes , and a deferred tax expense of $ 0.1 million as of december 31 , 2013 , the company had a u.s. deferred tax asset of approximately $ 0.4 18 recently issued accounting pronouncements in may 2014 , the fasb issued guidance for revenue recognition for contracts , superseding the previous revenue recognition requirements , along with most existing industry-specific guidance . the guidance requires an entity to review contracts in five steps : 1 ) identify the contract , 2 ) identify performance obligations , 3 ) determine the transaction price , 4 ) allocate the transaction price , and 5 ) recognize revenue . the new standard will result in enhanced disclosures regarding the nature , amount , timing and uncertainty of revenue arising from contracts with customers . in august 2015 , the fasb issued asu no . 2015-14 which deferred the effective date of the new standard by one year . along with the deferral of the effective date , asu no . 2015-14 allows early application as of the original effective date . entities are allowed to transition to the new standard by either recasting prior periods or recognizing the cumulative effect as of the beginning of the period of adoption . the standard and related amendments will be effective for the company for its annual reporting period beginning january 1 , 2018 , including interim periods within that reporting period . the company is currently evaluating the newly issued guidance , including which transition approach will be applied and the estimated impact it will have on our consolidated financial statements in july 2015 , the fasb issued accounting standards update no . 2015-11 , simplifying the measurement of inventory ( topic 330 )  , ( asu 2015-11 ) . topic 330 , inventory , currently requires an entity to measure inventory at the lower of cost or market , with market value represented by replacement cost , net realizable value or net realizable value less a normal profit margin . the amendments in asu 2015-11 require an entity to measure inventory at the lower of cost or net realizable value . asu 2015-11 is effective for reporting periods beginning after december 15 , 2016. we do not expect the adoption of this new accounting pronouncement , will have a significant impact on our consolidated financial statements . in november 2015 , the fasb issued accounting standards update 2015-17 ( asu 2015-17 ) to simplify the presentation of deferred taxes . this amendment requires that all deferred tax assets and liabilities , along with any related valuation allowances , be classified as noncurrent on the balance sheet . adoption of this standard is required for annual periods beginning after december 15 , 2016. we do not expect the adoption of asu 2015-17 will have a significant impact on our consolidated financial statements and related disclosures . story_separator_special_tag payments . as of december 31 , 2015 , the company is not committed by lines of credit or standby letters of credit , and has no standby repurchase obligations or other commercial commitments ( see note 5 credit facility in the notes to our consolidated financial statements ) . foreign exchange the company 's canadian business is subject to changes in demand or pricing resulting from fluctuations in currency exchange rates or other factors . we are subject to fluctuations primarily in the canadian dollar-to-u.s. dollar exchange rate . off-balance sheet arrangements as of december 31 , 2015 , we did not have any off-balance sheet arrangements , as defined in item 303 ( a ) ( 4 ) ( ii ) of sec regulation s-k. critical accounting policies and estimates management 's discussion and analysis of the company 's financial condition and results of operations are based upon the company 's consolidated financial statements that have been prepared in accordance with us gaap . the preparation of these financial statements requires the company to make estimates and judgments that affect the reported amounts of assets , liabilities , revenues and expenses , and related disclosure of contingent assets and liabilities . the company recognizes revenue from the sale of software and hardware for microcomputers , servers and networks on a gross revenue recognition basis upon shipment or upon electronic delivery of the product . on an on-going basis , the company evaluates its estimates , including those related to product returns , bad debts , inventories , investments , intangible assets , income taxes , stock-based compensation , contingencies and litigation . the company bases its estimates on historical experience and on various other assumptions that are believed to be reasonable under the circumstances , the results of which form the basis for making judgments about the carrying values of assets and liabilities that are not readily apparent from other sources . actual results may differ from these estimates . the company believes the following critical accounting policies used in the preparation of its consolidated financial statements affect its more significant judgments and estimates . the company maintains allowances for doubtful accounts for estimated losses resulting from the inability of its customers to make required payments . if the financial condition of the company 's customers were to deteriorate , resulting in an impairment of their ability to make payments , additional allowances

liquidity and capital resources our cash and cash equivalents increased by $ 0.7 million to $ 23.8 million at december 31 , 2015 from $ 23.1 million at december 31 , 2014. net cash provided by operating activities amounted to $ 8.2 million , net cash used in investing activities amounted to $ 0.2 million , and net cash used in financing activities amounted to $ 7.1 million . net cash provided by operating activities in 2015 was $ 8.2 million . in 2015 , cash was mainly provided by $ 7.3 million from net income including non-cash charges , a $ 1.1 million decrease in accounts receivable , and a $ 0.3 million decrease in accounts payable and accrued expenses prepaid , offset in part by an increase in inventory of $ 0.5 million . in 2015 , net cash used in investing activities was $ 0.2 million . this resulted primarily from $ 0.2 million for the purchase of equipment and leasehold improvements . net cash used in financing activities in 2015 of $ 7.1 million consisted of $ 3.2 million of dividend payments on our common stock and $ 4.6 million for the purchases of treasury shares of our common 19 stock offset by the tax benefit from share based compensation of $ 0.2 million and the exercise of stock options of $ 0.6 million . in 2014 the board of directors authorized the purchase of 500,000 shares of our common stock . in 2008 , the board of directors authorized the purchase of 500,000 shares of our common stock . in 2002 , the board of directors authorized the purchase of 1,490,000 shares of our common stock .


 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 our cash and cash equivalents increased by $ 0.7 million to $ 23.8 million at december 31 , 2015 from $ 23.1 million at december 31 , 2014. net cash provided by operating activities amounted to $ 8.2 million , net cash used in investing activities amounted to $ 0.2 million , and net cash used in financing activities amounted to $ 7.1 million . net cash provided by operating activities in 2015 was $ 8.2 million . in 2015 , cash was mainly provided by $ 7.3 million from net income including non-cash charges , a $ 1.1 million decrease in accounts receivable , and a $ 0.3 million decrease in accounts payable and accrued expenses prepaid , offset in part by an increase in inventory of $ 0.5 million . in 2015 , net cash used in investing activities was $ 0.2 million . this resulted primarily from $ 0.2 million for the purchase of equipment and leasehold improvements . net cash used in financing activities in 2015 of $ 7.1 million consisted of $ 3.2 million of dividend payments on our common stock and $ 4.6 million for the purchases of treasury shares of our common 19 stock offset by the tax benefit from share based compensation of $ 0.2 million and the exercise of stock options of $ 0.6 million . in 2014 the board of directors authorized the purchase of 500,000 shares of our common stock . in 2008 , the board of directors authorized the purchase of 500,000 shares of our common stock . in 2002 , the board of directors authorized the purchase of 1,490,000 shares of our common stock .
```    
 Suspicious Activity Report : the lifeboat distribution segment distributes technical software to corporate resellers , value added resellers ( vars ) , consultants and systems integrators worldwide . the techxtend segment is a value-added reseller of software , hardware and services for corporations , government organizations and academic institutions in the usa and canada . we offer an extensive line of products from leading publishers of software and tools for virtualization/cloud computing , security , networking , storage and infrastructure management , application lifecycle management and other technically sophisticated domains as well as computer hardware . we market these products through direct sales , the internet , our catalogs , direct mail programs , advertisements in trade magazines and e-mail promotions . forward-looking statements this report includes forward-looking statements within the meaning of section 21e of the exchange act . statements in this report regarding future events or conditions , including but not limited to statements regarding industry prospects and the company 's expected financial position , business and financing plans , are forward-looking statements . although the company believes that the expectations reflected in such forward-looking statements are reasonable , it can give no assurance that such expectations will prove to have been correct . we strongly urge current and prospective investors to carefully consider the cautionary statements and risks contained in this report , particularly the risks described under item 1a . risk factors above . such risks include , but are not limited to , the continued acceptance of the company 's distribution channel by vendors and customers , the timely availability and acceptance of new products , contribution of key vendor relationships and support programs , as well as factors that affect the software industry generally . the company operates in a rapidly changing business , and new risk factors emerge from time to time . management can not predict every risk factor , nor can it assess the impact , if any , of all such risk factors on the company 's business or the extent to which any factor , or combination of factors , may cause actual results to differ materially from those projected in any forward-looking statements . accordingly , forward-looking statements should not be relied upon as a prediction of actual results and readers are cautioned not to place undue reliance on these forward-looking statements , which speak only as of their dates . the company undertakes no obligation to publicly update or revise any forward-looking statements , whether as a result of new information , future events or otherwise . 14 the statements concerning future sales , future gross profit margin and future selling and administrative expenses are forward looking statements involving certain risks and uncertainties such as availability of products , product mix , pricing pressures , market conditions and other factors , which could result in a fluctuation of sales below recent experience . stock volatility . the technology sector of the united states stock markets has experienced substantial volatility in recent periods . numerous conditions which impact the technology sector or the stock market in general or the company in particular , whether or not such events relate to or reflect upon the company 's operating performance , could adversely affect the market price of the company 's common stock . furthermore , fluctuations in the company 's operating results , announcements regarding litigation , the loss of a significant vendor or customer , increased competition , reduced vendor incentives and trade credit , higher postage and operating expenses , and other developments , could have a significant impact on the market price of the company 's common stock . financial overview net sales totaled $ 382.0 million in 2015 as compared to $ 340.8 million in 2014 , representing a 12 % increase . gross profit increased by $ 1.8 million or 7 % in 2015 as compared to 2014. selling , general and administrative ( sg & a ) expenses increased by $ 1.6 million in 2015 as compared to 2014. income from operations amounted to $ 8.5 million in 2015 from $ 8.3 million in 2014 , representing an increase of $ 0.2 million or 3 % as compared to 2014. the increase in income from operations resulted from an increase in gross profit offset by the increase in sg & a expenses . our income before provision for income taxes increased by $ 0.1 million to $ 8.9 million in 2015 compared to $ 8.8 million in 2014. we reported net income of $ 5.8 million for both 2015 and 2014. the company 's sales , gross profit and results of operations have fluctuated and are expected to continue to fluctuate on a quarterly basis as a result of a number of factors , including but not limited to : the condition of the software industry in general , shifts in demand for software products , pricing , level of extended payment terms sales transactions , industry shipments of new software products or upgrades , fluctuations in merchandise returns , adverse weather conditions that affect response , distribution or shipping , shifts in the timing of holidays and changes in the company 's product offerings . the company 's operating expenditures are based on sales forecasts . if sales do not meet expectations in any given quarter , operating results may be materially adversely affected . results of operations the following table sets forth for the years indicated the percentage of net sales represented by selected items reflected in the company 's consolidated statements of earnings . story_separator_special_tag the current year effective tax rate was 34.2 % compared to 32.1 % in 2013. the current year effective tax rates are higher primarily due to the fact that the prior year included an adjustment to reflect a change in state apportionment rules . as of december 31 , 2014 , the company had a u.s. deferred tax asset of approximately $ 0.4 million . for the year ended december 31 , 2013 , the company recorded a provision for income taxes of $ 3.0 million which consists of a provision of $ 2.9 million for u.s. federal income taxes , as well as a $ 0.1 million provision for foreign taxes , and a deferred tax expense of $ 0.1 million as of december 31 , 2013 , the company had a u.s. deferred tax asset of approximately $ 0.4 18 recently issued accounting pronouncements in may 2014 , the fasb issued guidance for revenue recognition for contracts , superseding the previous revenue recognition requirements , along with most existing industry-specific guidance . the guidance requires an entity to review contracts in five steps : 1 ) identify the contract , 2 ) identify performance obligations , 3 ) determine the transaction price , 4 ) allocate the transaction price , and 5 ) recognize revenue . the new standard will result in enhanced disclosures regarding the nature , amount , timing and uncertainty of revenue arising from contracts with customers . in august 2015 , the fasb issued asu no . 2015-14 which deferred the effective date of the new standard by one year . along with the deferral of the effective date , asu no . 2015-14 allows early application as of the original effective date . entities are allowed to transition to the new standard by either recasting prior periods or recognizing the cumulative effect as of the beginning of the period of adoption . the standard and related amendments will be effective for the company for its annual reporting period beginning january 1 , 2018 , including interim periods within that reporting period . the company is currently evaluating the newly issued guidance , including which transition approach will be applied and the estimated impact it will have on our consolidated financial statements in july 2015 , the fasb issued accounting standards update no . 2015-11 , simplifying the measurement of inventory ( topic 330 )  , ( asu 2015-11 ) . topic 330 , inventory , currently requires an entity to measure inventory at the lower of cost or market , with market value represented by replacement cost , net realizable value or net realizable value less a normal profit margin . the amendments in asu 2015-11 require an entity to measure inventory at the lower of cost or net realizable value . asu 2015-11 is effective for reporting periods beginning after december 15 , 2016. we do not expect the adoption of this new accounting pronouncement , will have a significant impact on our consolidated financial statements . in november 2015 , the fasb issued accounting standards update 2015-17 ( asu 2015-17 ) to simplify the presentation of deferred taxes . this amendment requires that all deferred tax assets and liabilities , along with any related valuation allowances , be classified as noncurrent on the balance sheet . adoption of this standard is required for annual periods beginning after december 15 , 2016. we do not expect the adoption of asu 2015-17 will have a significant impact on our consolidated financial statements and related disclosures . story_separator_special_tag payments . as of december 31 , 2015 , the company is not committed by lines of credit or standby letters of credit , and has no standby repurchase obligations or other commercial commitments ( see note 5 credit facility in the notes to our consolidated financial statements ) . foreign exchange the company 's canadian business is subject to changes in demand or pricing resulting from fluctuations in currency exchange rates or other factors . we are subject to fluctuations primarily in the canadian dollar-to-u.s. dollar exchange rate . off-balance sheet arrangements as of december 31 , 2015 , we did not have any off-balance sheet arrangements , as defined in item 303 ( a ) ( 4 ) ( ii ) of sec regulation s-k. critical accounting policies and estimates management 's discussion and analysis of the company 's financial condition and results of operations are based upon the company 's consolidated financial statements that have been prepared in accordance with us gaap . the preparation of these financial statements requires the company to make estimates and judgments that affect the reported amounts of assets , liabilities , revenues and expenses , and related disclosure of contingent assets and liabilities . the company recognizes revenue from the sale of software and hardware for microcomputers , servers and networks on a gross revenue recognition basis upon shipment or upon electronic delivery of the product . on an on-going basis , the company evaluates its estimates , including those related to product returns , bad debts , inventories , investments , intangible assets , income taxes , stock-based compensation , contingencies and litigation . the company bases its estimates on historical experience and on various other assumptions that are believed to be reasonable under the circumstances , the results of which form the basis for making judgments about the carrying values of assets and liabilities that are not readily apparent from other sources . actual results may differ from these estimates . the company believes the following critical accounting policies used in the preparation of its consolidated financial statements affect its more significant judgments and estimates . the company maintains allowances for doubtful accounts for estimated losses resulting from the inability of its customers to make required payments . if the financial condition of the company 's customers were to deteriorate , resulting in an impairment of their ability to make payments , additional allowances

