To determine which payment option is more advantageous for a new employee, let's analyze the weekly earnings for both a salaried employee and an hourly employee based on the provided information.
### Salaried Employee:
1. The annual salary of a salaried employee is [tex]$50,000.
2. To find the weekly salary, divide the annual salary by the number of weeks in a year:
\[
\text{Weekly Salary} = \frac{\text{Annual Salary}}{52} = \frac{50,000}{52} \approx 961.54
\]
### Hourly Employee:
1. Hourly employees are paid $[/tex]20 per hour for the first 40 hours each week.
2. Hours worked over 40 hours in a week are paid at an overtime rate of [tex]$30 per hour.
3. The hours worked each day are as follows:
- Sunday: 0 hours
- Monday: 8 hours
- Tuesday: 8 hours
- Wednesday: 9 hours
- Thursday: 9.5 hours
- Friday: 7.5 hours
- Saturday: 4 hours
4. Calculate the total hours worked in the week:
\[
\text{Total Hours} = 0 + 8 + 8 + 9 + 9.5 + 7.5 + 4 = 46
\]
5. Determine the regular hours (up to 40 hours) and overtime hours (above 40 hours):
\[
\text{Regular Hours} = 40
\]
\[
\text{Overtime Hours} = 46 - 40 = 6
\]
6. Calculate the total weekly earnings for an hourly employee:
\[
\text{Weekly Earnings} = (\text{Regular Hours} \times \text{Regular Rate}) + (\text{Overtime Hours} \times \text{Overtime Rate})
\]
\[
\text{Weekly Earnings} = (40 \times 20) + (6 \times 30) = 800 + 180 = 980
\]
### Comparison:
- Weekly salary for salaried employee: \(\$[/tex] 961.54\)
- Weekly earnings for hourly employee: [tex]\(\$ 980\)[/tex]
Given the calculated weekly earnings:
- [tex]\(\$ 980\)[/tex] (hourly pay) is greater than [tex]\(\$ 961.54\)[/tex] (salaried pay).
Therefore, the correct recommendation is:
b. Hourly pay. Hourly employees make more per week than salaried employees.
