Question 1 (30 marks) Taikim is a retail jewelry company and listed in the stock exchange. The company produces Jewelry products and sells them in the China market. You have the following information for Taikim for the year 2018 and 2019 (all figures are in $ million): 2018 2019 1000 750 250 1200 850 350 10 10 340 Income Statement Data Revenue Less Expenses EBIT Less Interest EBT Less Tax Net Income Balance Sheet Data Total Asset Equity Liability 240 40 50 200 290 700 700 500 200 500 200 A. Using above data to analyze Taikim's quality of earning by using Du Pont formula. Determine ROEs and ROAs for the company and discuss the trend of these ratios. (20 marks) B. Explain why there is a change in the Taikim's quality of earning. What are the possible reasons to cause the change? You can focus on profit margin and asset turnover ratio. (10 marks)