Organizational Behavior
Organizational Behavior
OER 2019 Edition
ISBN: 9781947172715
Author: OpenStax
Publisher: OpenStax College
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Chapter 5, Problem 3CTC

What strategies should have been put in place to help prevent sexual harassment incidents like this from happening in the first place?

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Pell Company acquires 80% of Demers Company for $500,000 on January 1, 2022. Demers reported common stock of $300,000 and retained earnings of $210,000 on that date. Equipment was undervalued by $30,000 and buildings were undervalued by $40,000, each having a 10-year remaining life. Any excess consideration transferred over fair value was attributed to goodwill with an indefinite life. Based on an annual review, goodwill has not been impaired. Demers earns income and pays dividends as follows:   2022 2023 2024 Net income $ 100,000 $ 120,000 $ 130,000 Dividends 40,000 50,000 60,000 Assume the partial equity method is applied. Compute the noncontrolling interest in Demers at December 31, 2024.   Multiple Choice   $146,800   $160,800   $107,800   $80,000   $140,000

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Organizational Behavior

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