Centurion Limited has 40 employees who each work a 40-hour week. Each of the employees earns...

 

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Centurion Limited has 40 employees who each work a 40-hour week. Each of the employees earns N$5 per hour. However, during the month of February the employees worked an average of 45 hours per week. The company is considering changing the way it pays its employees. One proposal from the management accountant is that employees should be paid a basic wage of N$4 per hour with a bonus of N$1 per unit for each unit produced above the target output, which is 20 000 units per month. The actual output was 24 000 units. You are to assume that each month has four working weeks. Overtime when worked is currently paid at a time and half. Requirement Calculate the total wages and wages per employee under the existing time basis scheme for February.. Calculate the total wages and wages per employee under the new proposal for February. 3.1.3 Explain whether you believe the employees are likely to accept the new proposal for remuneration, giving reasons for your answer. Note: Show all the necessary workings or steps that are required to reach the answer. Marks are available for these. Total 3.1.1 3.1.2 Centurion Limited has 40 employees who each work a 40-hour week. Each of the employees earns N$5 per hour. However, during the month of February the employees worked an average of 45 hours per week. The company is considering changing the way it pays its employees. One proposal from the management accountant is that employees should be paid a basic wage of N$4 per hour with a bonus of N$1 per unit for each unit produced above the target output, which is 20 000 units per month. The actual output was 24 000 units. You are to assume that each month has four working weeks. Overtime when worked is currently paid at a time and half. Requirement Calculate the total wages and wages per employee under the existing time basis scheme for February.. Calculate the total wages and wages per employee under the new proposal for February. 3.1.3 Explain whether you believe the employees are likely to accept the new proposal for remuneration, giving reasons for your answer. Note: Show all the necessary workings or steps that are required to reach the answer. Marks are available for these. Total 3.1.1 3.1.2

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1 TOTAL WAGES AS PER TIME BASIS HOURS PER WEEK 40 EMPLOYEES 40 WEEKS PER MONTH 4 TOTAL MAN HOURS FOR ... View the full answer