Answer :
To determine which payment option is more advantageous for a new employee, we need to compare the weekly earnings of a salaried employee with those of an hourly employee, factoring in both regular and overtime pay. Let's detail the solution step-by-step.
Step 1: Calculate the total hours worked in a week.
Given the hours per day:
- Sunday: 0 hours
- Monday: 10 hours
- Tuesday: 8 hours
- Wednesday: 8 hours
- Thursday: 7 hours
- Friday: 6.5 hours
- Saturday: 4.5 hours
Summing these gives:
[tex]\[ 0 + 10 + 8 + 8 + 7 + 6.5 + 4.5 = 44 \text{ hours} \][/tex]
Step 2: Determine regular and overtime hours.
- Regular hours per week are up to 40 hours.
- Overtime hours are any hours over 40.
From the total weekly hours of 44:
- Regular hours: 40 hours (maximum allowed for regular pay)
- Overtime hours: [tex]\( 44 - 40 = 4 \text{ hours} \)[/tex]
Step 3: Calculate the weekly salary for a salaried employee.
The annual salary is \[tex]$67,000. To find the weekly salary: \[ \text{Weekly salaried pay} = \frac{\$[/tex]67,000}{52} \approx \[tex]$1288.46 \] Step 4: Calculate the weekly earnings for an hourly employee. An hourly employee earns \$[/tex]25 per hour for regular hours and \[tex]$37.50 per hour for overtime hours. - Regular earnings: \( 40 \text{ hours} \times \$[/tex]25/\text{hour} = \[tex]$1000 \) - Overtime earnings: \( 4 \text{ hours} \times \$[/tex]37.50/\text{hour} = \[tex]$150 \) Total weekly earnings for an hourly employee: \[ \text{Weekly hourly pay} = \$[/tex]1000 + \[tex]$150 = \$[/tex]1150 \]
Step 5: Compare the weekly earnings.
- Weekly salaried pay: \[tex]$1288.46 - Weekly hourly pay: \$[/tex]1150
Since the weekly salaried pay (\[tex]$1288.46) is greater than the weekly hourly pay (\$[/tex]1150), the salaried pay would be more beneficial for the employee.
Conclusion:
The recommendation for a new employee would be:
c. Salaried pay. Salaried employees make more per week than hourly employees.
Step 1: Calculate the total hours worked in a week.
Given the hours per day:
- Sunday: 0 hours
- Monday: 10 hours
- Tuesday: 8 hours
- Wednesday: 8 hours
- Thursday: 7 hours
- Friday: 6.5 hours
- Saturday: 4.5 hours
Summing these gives:
[tex]\[ 0 + 10 + 8 + 8 + 7 + 6.5 + 4.5 = 44 \text{ hours} \][/tex]
Step 2: Determine regular and overtime hours.
- Regular hours per week are up to 40 hours.
- Overtime hours are any hours over 40.
From the total weekly hours of 44:
- Regular hours: 40 hours (maximum allowed for regular pay)
- Overtime hours: [tex]\( 44 - 40 = 4 \text{ hours} \)[/tex]
Step 3: Calculate the weekly salary for a salaried employee.
The annual salary is \[tex]$67,000. To find the weekly salary: \[ \text{Weekly salaried pay} = \frac{\$[/tex]67,000}{52} \approx \[tex]$1288.46 \] Step 4: Calculate the weekly earnings for an hourly employee. An hourly employee earns \$[/tex]25 per hour for regular hours and \[tex]$37.50 per hour for overtime hours. - Regular earnings: \( 40 \text{ hours} \times \$[/tex]25/\text{hour} = \[tex]$1000 \) - Overtime earnings: \( 4 \text{ hours} \times \$[/tex]37.50/\text{hour} = \[tex]$150 \) Total weekly earnings for an hourly employee: \[ \text{Weekly hourly pay} = \$[/tex]1000 + \[tex]$150 = \$[/tex]1150 \]
Step 5: Compare the weekly earnings.
- Weekly salaried pay: \[tex]$1288.46 - Weekly hourly pay: \$[/tex]1150
Since the weekly salaried pay (\[tex]$1288.46) is greater than the weekly hourly pay (\$[/tex]1150), the salaried pay would be more beneficial for the employee.
Conclusion:
The recommendation for a new employee would be:
c. Salaried pay. Salaried employees make more per week than hourly employees.
