10) Zam Zam plc operates a single retail outlet selling direct to the public. Profit statements for August and September 2021 are as follows: August September Sales 80,000 90,000 Cost of sales 50.000 55.000 Gross profit 30,000 35,000 Less: Selling and distribution 8,000 9,000 Administration 15.000 15,000 Net profit 7,000 11,000 Required: a) Use the high-low points technique to identify the behavior of: i. Cost of sales ii. Selling and distribution costs; iii. Administration costs. b) Assuming a margin of safety equal to 30% of the break-even value, calculate Zam Zam's annual profit. c) Zam Zam plc is now considering opening another retail outlet selling the same products. Zam Zam Plc plans to use the same profit margins in both outlets and has estimated that the specific fixed costs of the second outlet will be TZS 100,000 per annum. Zam Zam plc also expects that 10% of its annual sales from its existing outlet would transfer to this second outlet if it were to be opened. Calculate the annual value of sales required from the new outlet in order to achieve the same annual profit as previously obtained from the single outlet