Question

Wilcorp has 50 employees who work 40 hours a week and earn $20/hour. Fifteen employees each worked 4 hours of overtime at 50% above their hourly rate. What percentage of the total payroll that week was overtime pay? Round your answer to the nearest tenth, if necessary.

Answer 1

To find the total payroll multiply 40hrs x $20 and then multiply by the number of employees which comes out to $4000. Then multiply 4hrs x $40 x 15 employees. This comes out to $2400. Add these two numbers together to find the total payroll. The total payroll is then divided by the overtime pay coming out to 2.7%