Question
-Imagine that a small paint manufacturer at the turn of the 20 th -century employs 200 people, each with an annual salary of $300/year. Historical
-Imagine that a small paint manufacturer at the turn of the 20th-century employs 200 people, each with an annual salary of $300/year. Historical data show that 6 percent of workers are injured each year and become completely unable to work. The factory owner decides to organize a fund to pay injured workers three months of salary to help their families during this difficult time. The workers finance the plan by contributing a fixed amount each year to this fund. Answer the following questions.
a-How many workers are injured each year?
b-How much in total does each injured worker receive?
c-How much does the owner need to collect to fully fund the plan each year?
d-How much does each employee have to contribute each year to fully fund the plan?
d-What percentage of salary is each employee contributing?
e-If you are an employee paying into the fund but who isnt injured, how does the plan help you?
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