Accounting 9706 · AS & A Level · Costs and cost behaviour

Costs and cost behaviour — practice question

Employees at a company receive $\$6.80$ per hour for a standard $40$-hour week. For overtime, a $50\%$ premium is paid, and a production bonus of $\$0.25$ per unit is also earned on all units made above $350$. A minimum weekly wage of $\$330$ is guaranteed. One employee worked $45$ hours last week and made $410$ units. What was the employee’s gross pay for that week?

  • A$330$
  • B$338$
  • C$372$
  • D$474$

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