Answer:
Amount paid for goodwill=5.3 million
Explanation:
The expression for calculating goodwill is given by;
Goodwill = Consideration paid– Fair value of net identifiable assets
where;
Consideration paid=$12.5 million
Fair value of net identifiable assets=Midwest's assets-Midwest's liabilities
Midwest's assets=$8.5 million
Midwest's liabilities=$1.3 million
Fair value of net identifiable assets=(8.5 M-1.3 M)=7.2 million
Replace in the expression below;
Goodwill = Consideration paid– Fair value of net identifiable assets
Goodwill=12.5 M-7.2 M
Goodwill=5.3 million
Please see the complete question below.
Agnessa let the management of Acme Global know that she will retire next year. Agnessa job requires specialized skills. Rather than advertise the job, management has the human resource management department look through its files for people in the organization who have the needed skills. This recruitment method is known as ______.
A. open recruitment
B. employee referrals
C. closed recruitment
D. targeted recruitment
Answer:
The answer is closed recruitment (option C)
Explanation:
Closed Recruitment can be defined as the type of recruitment that takes place 'in house'. In other words, there is no need for an external advertisement of vacancy because candidates needed to fill in vacant job roles or positions of a firm are selected from the existing pool of employees in the firm. Firms carry out closed recruitment by looking into the files of people who have the skills needed to occupy the vacant role and selecting/appointing who is best fitted for the role.
Yes you are correct the cost pool is the people cost object is the product
