Question

If an employee has an annual salary of $57,980 and he or she is paid on a bi-weekly basis, he or she would receive ______ in gross pay per pay period.

a) $2,307.69
b) $4,615.38
c) $2,400
d) $4,800

Answer 1

An employee with an annual salary of $57,980 receiving bi-weekly payments would have a gross pay of approximately $2,230.77 per pay period.

Step-by-step explanation:

To calculate the bi-weekly gross pay from an annual salary, you divide the total annual salary by the number of pay periods in a year. Since there are 52 weeks in a year and payments are bi-weekly, there are 26 pay periods.

Here's the calculation for an annual salary of $57,980:

1. Divide the annual salary by the number of pay periods: $57,980 ÷ 26 = $2,230.7692.

Therefore, the gross pay per bi-weekly pay period is $2,230.77 (rounded to the nearest cent), which matches closest to option (a) $2,307.69.