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Geometry, Measurement and Finance 10

Unit 1: Income Review
A. Gross Pay. Show your work.
1. Tim earns $18/h and keeps all of his tips. In a 2-week period he works 80 h and
receives $540 in tips. What is his gross pay?
Regular Pay = $18/h x 80 h = $1440
Gross Pay = $540 + $1440 = $1980

2. Heather is a real estate agent and she receives a 4% commission all her sales.
What is her gross pay if she sells a home worth $235 000?
Gross Pay = Commission = 0.04 x $235 000 = $9400
3. John earns $16.40/h and receives a shift premium of $2.60/h any day he works
before 9:00 am or after 5:00 pm. What is his gross pay?
!
Start Time End Time Reg. Hours Prem. Hours
Monday
9:00 am
9:00 pm 8 h
4h
Tuesday
9:00 am
5:30 pm 8 h
0.5 h
Thursday
8:00 am
5:30 pm 8 h
1.5 h
Friday
9:00 am
5:00 pm 8 h
Saturday
8:00 am
6:00 pm 8 h
2h
Total Hours
40 h
8h
!
Regular Pay = $16.40/h x 40 h = $656
Premium Pay = ($16.40/h + $2.60/h) x 8 h = $19/h x 8 h = $152
Gross Pay = $656 + $152 = $808

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4. Bert earns a base salary of $425/week and receives a commission of 2.5% on all
his sales. If he has sales of $1780, what is his gross pay?
Commission = 0.025 x $1780 = $44.50
Gross Pay = $425 + $44.50 = $469.50

5. Janice earns $15.50/h and keeps 90% of her tips. In one week she works 36 h
and receives $184 in tips. What is her gross pay?
Regular Pay = $15.50/h x 36 h = $558
Tips = 0.90 x $184 = $165.60
Gross Pay = $558 + $165.60 = $723.60

6. Terri earns $18/h and also receives time and one half if she works more than
40 h a week. In one week she works 62 h. What is her gross pay?
Regular Pay = $18/h x 40 h = $720
Overtime Pay = ($18/h x 1.5) x 22 h = $27/h x 22 h = $594
Gross Pay = $720 + $594 = $1314

7. Lawrence is an auto detailer. If each job costs the same amount and his office
grossed $14 880 on 31 jobs, what was the cost per job?
$14 880 = $/job x 31 jobs
$/job =

$"#!!!"
!"!!"#$

= $480

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8. Sandy earns $12.60/h and works 29 h. Find her gross pay.

Gross Pay = $12.60/h x 29 h = $365.40

9. Daniel receives a base salary of $580/week plus a commission of 3.8% on all

sales over $4000 (No commission on the first $4000 in sales). If he has sales
of $6700, what is his gross pay?
Commission = 0.038 x ($6700 - $4000) = 0.038 x $2700 = $102.60
Gross Pay = $580 + $102.60 = $682.60
10. Kevin earns $15/h and receives double time for working more than 36.5 h in one
week. If he works 45 h in one week what is his gross pay?
Regular Pay = $15/h x 36.5 h = $547.50
Overtime Pay = ($15/h x 2) x 8.5 h = $30/h x 8.5 h = $255
Gross Pay = $547.50 + 255 = $802.50

11. Vernon works as a freelance writer and is paid $0.22 per word. If he writes an
article with 534 words, what is his gross pay?
!
Gross Pay = $0.22/word x 534 words = $117.48
!
!
12. Mike works 58 h and has a gross pay of $986. What is his hourly rate?
$986 = $/h x 58 h
$/h =

$"#$
!"!!

= $17/h

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13. Hannah works as a tree planter. She is paid $0.65 for each tree planted. If she
plants 116 trees in one day, what is her gross pay?
Gross Pay = $0.65/tree x 116 trees = $75.40

14. Tammy earns $12.30/h and gives 25% of her tips to the chef. In two weeks she
works 32 h and receives $360 in tips. What is her gross pay?
!
!!!!!!!!Regular Pay = $12.30/h x 32 h = $393.60
Tips = 0.75 x $360 = $270
Gross Pay = $393.60 + $270 = $663.60
!
15. Complete the following chart.

a
b
c
d
e
f
g
h
i
j
!

Pay Period
Biweekly
Weekly
Biweekly
Monthly
Semi-monthly
Semi-annually
Biweekly
Monthly
Weekly
Semi-Monthly

Annual Pay
$27 820
$23 920
$21 320
$34 680
$57 600
$12 640
$37 960
$67 520
$35 360
$38 400

Pay per Pay Period

$1070
$460
$820
$2890
$2400
$6320
$1460
$5600
$680
$1600

16. Sonya earns a straight commission of 6% on all her sales. If her gross pay was
$534, what were her sales?
$534 = 0.06 x sales
sales =

$"#$
!.!"

= $8900

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17. Jims gross pay is $1200. If his overtime pay is $450, what is his regular
hourly rate if he works 40 regular hours? If he receives double time for any
overtime hours, what is his overtime rate and how many overtime hours did he
work?
$1200 = regular pay + $450
regular pay = $1200 - $450 = $750
$750 = $/h x 40 h
$/h =

$"#$
!"!!

= $18.75/h

Overtime rate = $18.75/h x 2 = $37.50/h

$450 = $37.50/h x # of hours
# of hours =

$"#$
$"#.!"/!

= 12 hours

B. Short Answer.
1. What is a commission?
A commission is a percentage of the sales which acts as an incentive to sell items
for sales people. The more they sell the more they earn.

2. Describe, using examples, various methods of earning income.

!!!!!

- hourly rates
- tips
- commission
- overtime
- shift premiums
- piece work
- salaries