To determine which payment option to recommend to a new employee, we need to compare the weekly earnings of a salaried employee and an hourly employee, given the provided information.
Step 1: Calculate Weekly Hours Worked
We start by calculating the total number of hours worked by the employee in a week based on the given daily hours:
- Sunday: 0 hours
- Monday: 8 hours
- Tuesday: 8.5 hours
- Wednesday: 9.5 hours
- Thursday: 10 hours
- Friday: 8 hours
- Saturday: 3 hours
Total hours worked in a week = 0 + 8 + 8.5 + 9.5 + 10 + 8 + 3 = 47 hours
Step 2: Calculate Weekly Pay for Salaried Employee
A salaried employee earns [tex]$78,000 per year. To find the weekly pay:
Weekly salaried pay = Yearly salary / Number of weeks in a year
\[ \text{Weekly salaried pay} = \frac{78,000}{52} = 1500 \text{ USD} \]
Step 3: Calculate Weekly Pay for Hourly Employee
Hourly employees are paid $[/tex]26 per hour for regular hours (up to 40 hours per week) and [tex]$39 per hour for overtime hours (over 40 hours per week).
First, we need to determine the regular hours and overtime hours:
- Regular hours = 40 hours (since 40 hours is the maximum before overtime kicks in)
- Overtime hours = Total hours worked - Regular hours = 47 - 40 = 7 hours
Now, we calculate the pay for regular hours and overtime hours:
- Pay for regular hours = 40 hours $[/tex]26/hour = 1040 USD
- Pay for overtime hours = 7 hours $39/hour = 273 USD
Total weekly pay for hourly employee = Pay for regular hours + Pay for overtime hours
[tex]\[ \text{Total weekly pay for hourly employee} = 1040 + 273 = 1313 \text{ USD} \][/tex]
Step 4: Compare Weekly Earnings
We compare the weekly earnings of salaried and hourly employees:
- Salaried employee weekly pay = 1500 USD
- Hourly employee weekly pay = 1313 USD
Since the salaried employee earns more per week compared to the hourly employee:
[tex]\[ 1500 \text{ USD} > 1313 \text{ USD} \][/tex]
The best recommendation for a new employee would be the salaried pay option.
Conclusion:
The best answer is:
[tex]\[ \boxed{\text{c. Salaried pay. Salaried employees make more per week than hourly employees.}} \][/tex]
