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Calculating Differential Piece-Rate The employee receives one piece rate up to the standard and then a higher rate once the standard has been exceeded

Management

Calculating Differential Piece-Rate The employee receives one piece rate up to the standard and then a higher rate once the standard has been exceeded. ***Show work.***

1. Calculate: An employee may be paid $8.00 per hour plus $0.10 for each item up to 200; $0.11 for each item from 201 to 500; and $0.15 for each item over 500. If the employee worked a 40-hour work week and made 1,000 items, what is the gross pay?

Base pay: ________________

Items 1-200:_____________

Items 201 - 500: _______________

Items 501 - 1,000: ______________

Gross pay: _________________

2. Calculate: An employee may be paid $10.10 per hour plus $0.10 for each item up to 200; $0.12 for each item from 201 to 500; $0.14 for each item from 501 to 1,000; and $0.17 for each item over 1,001. If the employee worked a 40-hour work week and made 676 items, what is the gross pay?

Base pay: _____________________

Items 1-200: ___________________

Items 201 - 500: __________________

Items 501 - 1,000: _________________

Items 1,001+: ________________________

Gross pay: ________________

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