Employee A is a carpenter and normally works 36 hours per week. The standard rate of pay is $3.60 per hour. A premium of 50% of the basic hourly rate is paid for all overtime hours worked. During the last week of October, Employee A worked for 42 hours. The overtime hours worked were for the following reasons: Machine breakdown: 4 hours To complete a special job at the request of a customer: 2 hours How much of Employee A's earnings for the last week of October would have been treated as direct wages? A $162.00 B $129.60 C $140.40 D $151.20

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
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Chapter1: Financial Statements And Business Decisions
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Employee A is a carpenter and normally works 36 hours per week. The standard rate of pay is $3.60

per hour. A premium of 50% of the basic hourly rate is paid for all overtime hours worked. During the

last week of October, Employee A worked for 42 hours. The overtime hours worked were for the

following reasons:

Machine breakdown: 4 hours

To complete a special job at the request of a customer: 2 hours

How much of Employee A's earnings for the last week of October would have been treated as direct

wages?

A $162.00

B $129.60

C $140.40

D $151.20

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