Current cost profit is defined as the difference between the present (discounted)value of expected net cash flows of a firm at two points in times,excluding additional investments by and distributions to owners.

Question

Quizplus · Accepted Answer

Current cost profit refers to the profit calculated based on the current replacement cost of assets rather than their historical cost. It does not involve discounting future cash flows or considering investments and distributions to owners in its definition.

Current Cost Profit Is Defined as the Difference Between the Present