Please solve the question

Suppose you are interested in evaluating Luther Corporation. Given the corporation's income statement and balance sheet, answer the following questions: Luther Corporation Consolidated Income Statement Year ended December 31 (in S millions) 2019 2018 Total sales 610. 578.31 Cost of goods sold 500.2481.9) Gross profit 109.9 96.4 Selling, general, and administrative expenses (40.5) (39.0) Research and development (24.6) (22.8) Depreciation (3.6 (3.3) Operating income 41.2 31.3 Other income Earnings before interest and taxes (EBIT) 41.2 31.3 Interest income (expense) (25.1 (15.8 Pre-tax income 16.1 15.5 Taxes (5.5) (5.3) Net income 10.6 10.2 Luther Corporation Consolidated Balance Sheet December 31, 2019 and 2018 (in S millions) 2019 2018 Assets Current Assets Cash Accounts receivable Inventories Other current assets Total current assets Liabilities and 2019 2018 Stockholders' Equity Current Liabilities 123.6 58.5 Accounts payable 55.5 39.6 Notes payable 45.9 42.9 Short-term bank notes 6.0 3.0 Accruals 231.0 144.0 Total current liabilities 87.6 73.5 10.5 9,6 39.9 36.9 28.8 34.2 166.8154.2 Long-Term Liabilities 62.1 Long-term debt 239.7168.9 109.5 91.5 Capital lease obligations 119.1 99.6 Other long-term liabilities Long-Term Ansels Land Buildings Equipment Less accumulated Depreciation Net property, plant, and equipment Other long term assets Total long-term assets (56.1) (525) Total liabilities 406.5323.1 126.6 63.6 239.1 200.7 Stockholders' Equity 63.0 42.0 302.1 242.7 Total liabilities and 533.1 386.7 Stockholders' Equity Total Assets 533.1386.7 for the lio 2019 Cury period collo el nover De ray Dquity ratio profit marg profit Retracts 2. Analyze the overall financial situation from a time-series viewpoint. Break your analysis into an evaluation of the firm's liquidity, activity, debt, and profitability. (4 marks)