Question
Bill Rose is a salesperson for Boxes, Inc. He believes his $1,199.53 monthly paycheck is in error. Bill earns a $1,250 salary per month plus
Bill Rose is a salesperson for Boxes, Inc. He believes his $1,199.53 monthly paycheck is in error. Bill earns a $1,250 salary per month plus a 9.5% commission on sales over $1,500. Last month, Bill had $5,750 in sales. Bill believes his traveling expenses are 10% of his weekly gross earnings before commissions. Monthly deductions include Social Security, $102.53; Medicare, $23.98; FIT, $137.46; union dues, $25; and health insurance, $16.99.
a. Calculate Bills monthly take-home pay, and indicate the amount his check was under- or overstated. (Round your answer to the nearest cent.)
Monthly take-home pay $
Difference: $
understated or overstated
b. Bills weekly traveling expenses. (Round your answer to the nearest dollar.)
Weekly traveling expenses $
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