a) Calculate Targets cash flow from assets for 2021 and 2022 given their income statement and balance sheet below and discuss your observations.

b) Appraise Targets profitability and long-term solvency ratios over the last three years. Display the ratios you computed in the following table.

\begin{tabular}{l|l|l|l} \hline Profitability ratios & 2020 & 2021 & 2022 \\ \hline Gross profit margin & & & \\ \hline EBIT margin & & & \\ \hline Net profit margin & & & \\ \hline ROE & & & \\ \hline ROA & & & \\ \hline Long-term solvency ratios & 2020 & 2021 & 2022 \\ \hline & & & \\ \hline Debt-equity ratio & & & \\ \hline Total debt ratio & & & \\ \hline Equity multiplier & & & \\ \hline Times interest earned & & & \\ \hline Cash coverage ratio & & & \\ \hline \end{tabular}