Question

Frank Hill works for a company with a semi-monthly pay cycle. He earns $80,000.

per year and receives over-time paid at time and a half for any approved hours
worked in excess of 40 hours per week. He receives a parking allowance of $100 per
month and is paid $25 per hour for working on-call on weekends.
During this pay cycle Frank worked 9 hours of approved over-time this pay cycle and
was on-call for 10 hours on Saturday. Calculate Frank's gross earnings for this pay
cycle.

Answer 1

Explanation:

First, let's calculate Frank's regular pay for the pay cycle. Since he has a semi-monthly pay cycle, there are 24 pay cycles in a year, so his biweekly (semi-monthly) pay before any overtime or on-call pay is:

$80,000 / 24 = $3,333.33

Next, we need to calculate Frank's overtime pay for the pay cycle. He worked 9 hours of approved overtime at time and a half, so he earned:

9 hours * $25/hour * 1.5 = $337.50

We also need to calculate Frank's on-call pay for the pay cycle. He was on-call for 10 hours on Saturday at a rate of $25 per hour, so he earned:

10 hours * $25/hour = $250

Finally, we add up all of Frank's pay for the pay cycle to get his gross earnings:

Biweekly pay + overtime pay + on-call pay + parking allowance

= $3,333.33 + $337.50 + $250 + $100

= $4,020.83

Therefore, Frank's gross earnings for this pay cycle are $4,020.83.