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Three college roommates open a fast-food restaurant chain after graduation.

Three college roommates open a fast-food restaurant chain after graduation. They decide to offer a 401(k) plan to all of their 700+ employees and a defined benefit retirement plan for themselves and their six Group Vice Presidents. If the company initially funds the defined benefit plan with $10 million and is in the 32% tax bracket, what is the after-tax cost of the funding?

A.

$3.2 million

B.

$6.8 million

C.

$10.0 million

D.

$13.2 million

AFP CTP Summary

  • Vendor: AFP
  • Product: CTP
  • Update on: Oct 21, 2025
  • Questions: 1076
Price: $52.5  $149.99
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