In your role as a compensation analyst, you have been assigned to calculate and compare the estimated
Question:
In your role as a compensation analyst, you have been assigned to calculate and compare the estimated costs of hiring full-time and part-time employees in anticipation of staffing a project. It will take 100,000 work hours to complete the project, and the project must be completed within a five-workweek period. The workweek runs Monday through Friday, with the daily hours of 8 a.m.to 4 p.m. Full-time workers provide 40 hours of weekly service. Part-time workers provide 20 hours of weekly service. Assume that the hourly wage rate for full-time workers is $20, and the rate is $12 for part-time workers. Both categories of workers perform the same sets of tasks. Also, assume that costs of benefits equal the amounts displayed in Table 12-2.
Show your math.
12-11. Based exclusively on employing full-time workers,
(a) How many are needed to complete the project?
(b) What is the estimated total cost of wages and benefits?
12-12. Based exclusively on employing part-time workers,
(a) How many are needed to complete the project?
(b) What is the estimated total cost of wages and benefits?
12-13. Assume that your company has asked you to calculate the cost of staffing the project with a combination of full-and part-time workers. You've already hired 225 full-time workers.
(a) How many part-time workers should you hire?
(b) What is the total cost of wages and benefits based on employing this mix of full-and part-time workers?
Auditing An International Approach
ISBN: 978-0071051415
6th edition
Authors: Wally J. Smieliauskas, Kathryn Bewley