Set out below are the sales and net profits of a business for two years, 2010 and 2011: 2010 £ 2011 £ Sales revenue 530,000 730,000 Operating profit 66,000 114,000 The fixed costs in 2011 had...

Set out below are the sales and net profits of a business for two years, 2010 and 2011: 2010 £2011 £Sales revenue530,000730,000Operating profit66,000114,000The fixed costs in 2011 had increased by £16,000 over the previous year but the percentage contribution remained the same. Required: Calculate the sales revenue level at which the business broke even in 2011. Calculate the sales revenue that would have been required to generate an operating profit of £240,000 in 2011. Illustrate your answer to (b) on: a chart displaying the contribution level and the profit level; a profit-volume chart. If a new product does not require any new fixed costs because the company utilizes the existing capacity of facilities and personnel, what would be the breakeven point? [Marks (10 + 3 + 8 + 4) = 25 marks]