Based on Chester's turnover rate and the additional cost of recruiting, the total recruiting cost for Chester would be D. $193,806.
The total recruiting cost for Chester can be found by the formula:
= (Recruiting base spending + Current year spending + Additional spending) x Number of employees next year
Number of employees next year:
= Current employee number x Turnover rate
= 468 x 6.3%
= 29.484
Recruiting cost is:
= (1,000 + 5,000 + 500) x 29.484
= $193,806
In conclusion, option D is correct.
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