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Paula works on projects for Grace Company as the need arises. Paula typically works ten hours per project, but during the busy season at Grace

Paula works on projects for Grace Company as the need arises. Paula typically works ten hours per project, but during the busy season at Grace Company, in June and July, Paula typically works fifty hours per week. Is Grace Company required to pay Paula overtime, and, if yes, in what amount?
No, Grace Company is not required to pay Paula overtime pay because that is left to the employer's discretion.
No, Grace Company is not required to pay Paula overtime pay because Paula is an independent contractor.
Yes, Grace Company must pay Paula at least one-and-one-half times her regular hourly rate for overtime because Paula is an employee.
Yes, Grace Company must pay Paula at least one-and-one-half times her regular hourly rate for overtime because Paula is an independent contractor.
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