Modified wage plan Elizabeth Davis earns $20 per hour for up to 400 units of production per day. If she produces more than 400 units per day, she will receive an additional piece rate of $0.40 per unit. Assume that her hours worked and pieces finished for the week just ended were as follows:

a. Determine Davis’ earnings for each day and for the week.

b. Prepare the journal entry to distribute the payroll, assuming that any make-up guarantees are charged to Factory Overhead.

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Day Monday Hours Worked Pieces Finished 8 400 Tuesday 8 380 Wednesday 8 440 Thursday 8 450 Friday 8 00 360