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

Costs and cost behaviour — practice question

An employee receives basic pay of $20 per hour for an 8-hour day. Overtime is paid at time and a half. A bonus of $40 is also paid for each unit produced above 10 units a day. Yesterday, the employee worked 10 hours and produced 11 units. What was the employee’s pay for the day?

  • A$220
  • B$260
  • C$620
  • D$660

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