1. ABC Company has three employees: Ann, Brenda, and Curtis. Their compensation is $50,000, $150,000, and $200,000 respectively. ABC is considering establishing a straight 10% profit sharing plan or an integrated profit sharing plan using a 10% contribution for base compensation and 15.7% for excess compensation. Which of the following statements are correct?
If the integrated plan is selected, the base contribution for all employees is $53,000.
If the integrated plan is selected, Curtis’ total contribution is $31,400.
If the integrated plan is selected, then the total contribution for all employees is $56,524.
The effect of the integrated plan results in an increase in Brenda’s contribution of $1,300
2. Why is Walmart impacted by Foreign Exchange Fluctuations? And what are some of the potential benefits or harms of these changes? Also, you may incorporate personal experience as it relates to the topic of this chapter and provide the class with examples you may have.