Question

A local company employs a varying number of employees each year, based on its needs. The labor costs for the company

include a fixed cost of $44,604.00 each year, and $27,396.00 for each person employed for the year. For the next year, the
company projects that labor costs will total $1,715,760.00. How many people does the company intend to employ next year?
OA. 731
OB. 61
O C. 125
OD. 31

Answer 1

To find out how many people the company intends to employ next year, set up an equation based on the labor costs and solve for the number of employees. The company intends to employ approximately B. 61 people next year.

Step-by-step explanation:

To find out how many people the company intends to employ next year, we can set up an equation based on the labor costs. The equation is:

number of employees x cost per employee + fixed cost = total labor cost

Let's substitute the given values into the equation:

x($27,396) + $44,604 = $1,715,760

To solve for x, we need to isolate the variable:

x($27,396) = $1,715,760 - $44,604

x($27,396) = $1,671,156

Now, divide both sides by $27,396 to solve for x:

x = $1,671,156 / $27,396

x ≈ 61

Therefore, the company intends to employ approximately 61 people next year.