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Full-Text Articles in Business
A Markovian Model For The Valuation Of Human Assets Acquired By An Organizational Purchase, Eric G. Flamholtz, George T. Geis, Richard J. Perle
A Markovian Model For The Valuation Of Human Assets Acquired By An Organizational Purchase, Eric G. Flamholtz, George T. Geis, Richard J. Perle
Finance Faculty Works
A corporation acquires the assets and liabilities of a securities brokerage firm for a price in excess of net book value. A Markov analysis is used in conjunction with human resource accounting to value a pool of account executives employed by the brokerage firm. The tax implications of imputing a portion of the purchase price premium to the pool of human assets (as opposed to goodwill) are discussed.