Question

You have just hired a new employee, Tim, to oversee the production of your new line of water bottles. Tim is a full-time employee working 40 hours a week, 52 weeks per year. Tim's hourly wage is $8.00 an hour and you would like to factor his annual base salary into your yearly expenses. What amount should you budget for, given Tim's base hourly wage?

Answer 1

$16,640

Explanation:

Tim's total annual wage expense is ...

($8.00 /h)(40 h/wk)(52 wk/yr) = $8×40×52 /yr = $16,640 per year