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

50 employees work 40 hours/week at $20/hour.

Their combined regular hours salary is 50 * 40 * $20 = $40,000.

15 employees worked 4 hours at $30/hour.

Their combined overtime salary is 15 * 4 * $30 = $1,800.

The total payroll is the regular hours plus the overtime:

$40,000 + $1,800 = $41,800

The overtime is the following percentage of the total payroll:

$1,800/$41,800 * 100% = 4.3%

Answer: 4.3%