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Computing earnings with incentive compensation. Arroyo, an employee of the Cincinnati Cabinet Co., submitted the following data for work activities last week: Day Units Produced

Computing earnings with incentive compensation. Arroyo, an employee of the Cincinnati Cabinet Co., submitted the following data for work activities last week: Day Units Produced Each Day Monday................................. 30 Tuesday................................. 32 Wednesday............................. 46 Thursday................................ 28 Friday.................................... 34 During the week, Arroyo worked eight hours each day. Compensation was based on a modified wage plan where an employee earns $2.50 per finished unit and is guaranteed a minimum of $10 per hour. Instructions:Complete the schedule below. (Round labor cost per unit to the nearest whole cent.) Earnings at Piece-rate Make-up Daily Labor Cost Day $10 per Hour Earnings Guarantee Earnings per Unit Monday __________ __________ __________ __________ __________ Tuesday __________ __________ __________ __________ __________ Wednesday __________ __________ __________ __________ __________ Thursday __________ __________ __________ __________ __________ Friday __________ __________ __________ __________ __________

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