Answer: Saul's gross annual pay is $61,115.12
Explanation:
There are 52 weeks in a year, so if Saul works 40 hours per week, in a year he would have worked for:
40 × 52 = 2080 normal hours
If Saul earns $27.35 per hour, for the 2080 normal hours he works in a year, he would earn:
2080 × 27.35 = $56,888 (for normal time)
Recall that Saul works 4 hours overtime every two weeks.
We divide 52 weeks by 2, to find the total number of weeks he works overtime in a year
= 52/2 = 26 weeks.
Saul worked 4 hours overtime per week in the period he worked overtime.
So, calculating the number of hours he worked overtime in a year, we multiply 4 hours of his overtime per week by the number of weeks he worked overtime (26 weeks).
4 × 26 = 104 hours overtime in the year.
Since he gets a time and a half overtime, it means he earns 1.5 times his normal time pay as overtime earnings.
So, his normal earning = $27.35
Half his normal earning = $13.68
Overtime earning = $27.35 + 13.68 = $41.03
So, he earns $41.03 for every hour he works overtime. Then, if he works 104 hours overtime in a year, his earning on overtime alone in the year=
104 hours × $41.03 = $4, 267.12
To calculate his gross annual pay, we add up his earnings for normal time in the year and his earning for overtime in the same year:-
= $56,888 + $4,267.12
= $61,115.12
Therefore, Saul's gross annual pay is $61,115.12