The following information is available:

Required:
For the following levels of output produced in one day:
80 units 120 units 210 units Calculate earnings based on:

(a) piecework, where earnings are guaranteed at 80% of time-based pay.

(b) premium bonus system.

Transcribed Image Text:

Normal working day Guaranteed rate of pay (on time basis) Standard time allowed to produce 1 unit Piecework price Premium Bonus 8 hours 5.50 per hour 3 minutes 0.10 per standard minute 75% of time saved, in addition to hourly pay