e) Given that selling accessories is only a recent activity for Martin, but is reasonably popular, he is considering setting up a small shop somewhere as a retail outlet for such accessories. In order to do so, he understands that a break-even analysis is recommended. Outline two (2) fixed and one (1) variable cost Martin would likely include in the break-even analysis if he wishes to forecast whether it is worthwhile to open the shop. (3 marks)

f) Comment on the usefulness of interpreting the statement of cash flows provided in this scenario. Include a limitation of the data and how it may be overcome. (3 marks)