A supermarket pays its employees $6 per hour for the first 40 hours

A supermarket pays its employees $6 per hour for the first 40 hours per week and pays them 1.5 times the normal rate for each hour over 40 hours in a week. If the company has 65 employees and 30 of them worked 30 hours last week, 20 worked 40 hours, and the rest worked 50 hours, what was the supermarket's total payroll for the week?

A. $5,400
B. $9,600
C. $12,250
D. $13,550
E. $15,150

Solution

Question stem analysis

Supermarket pays its employees for one hour = $6. So, for 40 hours per week = 6 * 40 = $240. 
The normal rate would be 1.5 times for each hour over 40 hrs in a week          = 6 * 1.5 =$9 per hr

Total employees = 65

1. 30 workers worked for 30 hrs in a week = 30hrs * $6 = $180 per week per employee
                                    And for 30 employees =$180 * 30 = $5400

2. 20 workers worked for 40 hrs in a week = 40hrs * $6 = $240 per week per employee
                                    And for 20 employees =$240 * 20 = $4800

3. (I) 15 workers worked for the first 40 hrs in a week = 40hrs * $6 = $240 per week per employee
                                    And for 15 employees =$240 * 15 = $3600
   (II) 15 workers worked for the second 10 hrs in a week = 10hrs * $9 = $90 per week per employee
                                    And for 15 employees =$90 * 15 = $1350
Total amount for 15 workers worked for 50 hrs                  = $3600 + $1350 = $4950

Total payroll for the week  =$5400+$4800+$4950 = $15150

Option E