The table below shows the typical hours worked by employees at a company. A salaried employee makes $78,000 per year. Hourly employees get paid $26 per hour, but get $39 per hour for each hour over 40 hours.Sun.Mon.Tues.Wed.Thurs.Fri.Sat.088.59.51083Which of the payment options would you recommend to a new employee?
Answer
A
Either one. Hourly and salaried employees earn the same amount per week.
B
Hourly pay. Hourly employees make more per week than salaried employees.
C
Salaried pay. Salaried employees make more per week than hourly employees.
D
There is not enough information given to compare weekly earnings.
Explanation
The hours add up to 47 for the week: 0 + 8 + 8.5 + 9.5 + 10 + 8 + 3. The hourly employee earns $1,040 for the first 40 hours and $273 for the 7 overtime hours, for a total of $1,313. The salaried employee earns $78,000 ÷ 52 = $1,500 per week, so salaried pay is higher.
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