Example Equitable Investment Calculation:
Gross profit for sales of LPC product in 2019 totals $500,000 USD.
2020 gross profit is $550,000 USD
2021 gross profit is $750,000 USD
Requirement is ¼ cent per dollar of gross profit annually.
$500,000 × .0025 = $1,250 USD
$550,000 × .0025 = $1,375 USD
$750,000 × .0025 = $1,875 USD
The total donation amount therefore over these three years is therefore $4,500 USD.
A minimum of 50% of this donation must be financial, up to 50% may be met through human and equity-focused volunteer time by the organization, and up to 25% may be met through product donations to approved organizations.
Therefore the manufacturer must donate a minimum of $2,750 USD through financial means.
They may meet the rest through volunteer time up to $2,750 USD, and may use a maximum of $1,125 USD to contribute to the total donation.
