If an employee works 30 hours with an hourly wage rate of $12, what would be the employee's net pay?

Study for the VirtualSC Economics Honors Exam. Utilize flashcards and multiple-choice questions, each with hints and explanations. Get prepared for your exam!

To determine an employee's net pay based on their hourly wage and the number of hours worked, you need to perform a simple calculation. The formula for calculating gross pay (before any taxes or deductions) is:

Gross Pay = Hourly Wage × Hours Worked.

In this scenario, the employee works for 30 hours at an hourly wage of $12. Therefore, the calculation would be:

Gross Pay = $12 × 30 = $360.

Assuming this calculation accounts for all adjustments needed to arrive at net pay, the net pay would be $360. It is important to note that to ascertain net pay more precisely, you would typically then subtract any applicable taxes and deductions. However, if we focus on the provided data without specifying any deductions, the gross pay equals the net pay in this example, making $360 the appropriate figure for the income earned by the employee.

Recognizing that net pay can differ after deductions, the calculation reflects the gross earnings based on the hourly wage. This is why the correct answer is $360.

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