Question

Paul can choose to be paid $50 for a job or he can be paid $12.50 per hour Under what circumstances should he choose the hourly wage?Explain

Answer 1

Answer:

12.50 x 4 hours = $50

Step-by-step explanation:

It is advisable to pick the hour based form of payment because this gives room for flexibility in terms of time scheduled for the work.

Also, if the hourly based rate of $12.50 is chosen, this means he only have to work for 4 hours to break even with $50 ( 4hours x $12.50 = $50).

Hence, Paul is advised to pick the hourly based payment if he plans to work for more than 4 hours.

Nevertheless, if he plans to work for less than 4 hours, he is advised to go for $50 payment schedule.

The reason for choosing the hourly pay is that $12.50 paid per hour means if he works for 24 hours,the pay will be $12.5×24=$300...

Which means he will surely earn more by working hourly compared to working being paid $50.

The difference between the $50 and the hourly pay is so much that he will rather go for the highest pay.