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Answer the question based on the following information.

The figure below represents sales and net profit in $\text{Rs. crore}$ of IVP Ltd. for five years from $1994-95$ to $1998-99.$ During this period the sales increased from $\text{Rs. 100 crore}$ to $\text{Rs. 680 crore.}$ Correspondingly, the net profit increased from $\text{Rs. 2.5 crore}$ to $\text{Rs. 12 crore.}$ Net profit is defined as the excess of sales over total costs.

Defining profitability as the ratio of net profit to sales, IVP Ltd., recorded the highest profitability in

  1. $1998-99$
  2. $1997-98$
  3. $1994-95$
  4. $1996-97$
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