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Economics, Accounting & Business: Post your doubts here!

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Thanks bro/sis...
But my Question was how to ignore MANAGEMENT salaries? what will we assume for this? bcoz if we ignore mangment salary we get the rise in profits.....:/
i also calculate the $1.15m but in mark scheme there is one more figure of profit that is $1.9m.

I also assume the same, Indirect Costs are still liable to pay as they are not directly related to production they can be cut off but they cant entirely eliminated...but still i am confused from markscheme option of profit though we have to give any one profit figure but i want to know how to calculate the other one i mean logic....




but then they also gave 6 marks for 1.15m so guess you could do it that way too
 
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