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?

Accepted Solution

Given: The table of typical hours worked by employees at a companysalaried employee makes $78,000 per yearhourly employees get $26 per hour and $39 per hour when they work more than 40 hours.To Find: Which payment option to recommend to a new employee.Solution: I would recommend being a salaried employee.Explanation:We begin by calculating the typical number of hours worked per week.Adding up the hours from the table, we have [tex]0+8+8.5+9.5+10+8+3=47[/tex].The payment for an hourly employee must be calculated as $26 per hour for working till 40 hours, and $39 per hour when they work more than 40 hours.So, the payment for 47 hours of work per week will be [tex](26)(40) + (39)(7) = 1313[/tex] dollars.As there are 52 weeks in a year, the yearly payment for an hourly emplyee would be [tex](1313)(52) = 68276[/tex]. That is, an hourly employee would earn $68276.On the other hand, we are given that a salaried employee makes $78000 per year which is more money than what an hourly employee makes for the same amount of work.Therefore, I would recommend a new emplyee to be paid a salary rather than work on an hourly basis.