Principles 1B Unit 5 Quiz

If an employer offers to hire you but explains that you will have to start out at a lesser training wage for the first two months before you move to minimum wage, is this legal?

• No, a training wage is only legal for the first few weeks.

• No, hiring anyone for less than minimum wage is illegal.

• Yes, if you do not have the skills for the job you do not get the full wage.

• Yes, as long as you agree to it since the employee must consent to lower wages.

Kirsten worked 44 hours this week, but her employer told her that she is not entitled to overtime because the previous week she was out sick one day, so she only worked 32 hours. Since she had to stay late to catch up, the employer is not responsible for the overtime. Is this correct?

• Yes, the hours worked are averaged over the course of a month.

• Yes, it is not the employer’s fault that Kirsten got behind at work.

• No, overtime depends on the hours worked during one week only.

• No, paid sick leave is legally required, so Kirsten gets full pay for the previous week.

Kirsten worked 44 hours this week, but her employer told her that she is not entitled to overtime because the previous week she was out sick one day, so she only worked 32 hours. Since she had to stay late to catch up, the employer is not responsible for the overtime. Which of these determines whether Kirsten’s employer is correct or not?

• the Fair Labor Standards Act

• the state’s minimum wage law

• the regulations of Kirsten’s industry

• the contract created by Kristen’s union

Tyrone has been offered a job at an accounting firm, but he has heard from others who work there that hours are long, particularly during tax preparation season. Knowing this, Tyrone requested an equivalent hourly rate. Was this a good decision?

• No, salaries generally have a higher hourly rate on average.

• No, jobs with hourly rates usually do not include benefits.

• Yes, given that there is likely to be a lot of overtime, an hourly rate is better.

• Yes, because the employee generally gets to determine the structure of their pay.

An employee is offered a salary of $60,000 a year. This company issues paychecks twice a month. What will the gross pay be for these paychecks?

• $6000

• 5000

• $2500

• $1250

Omar is offered a job with a salary of $42,000. He will get medical benefits, dental benefits, and contributions to his retirement worth $12,000 a year. How much is his annual gross pay?

• $30,000

• $42,000

• $50,000

• $64,000

Omar is offered a job with Company A for a salary of $42,000. He gets medical benefits, dental benefits, and contributions to his retirement worth $12,000 a year. At the same time, Company B offers him a job with a salary of $47,000. This job comes with medical benefits and contributions to his retirement worth $5,000. Both provide two-weeks paid vacation. Which is the better offer in terms of total compensation?

• Company B because the salary is higher.

• Company A because the total compensation is higher.

• Company A because the salary is likely to increase later.

• Company B because most people do not need dental benefits.

Akari works at a local coffee shop and makes $12.00 an hour. Last week, she worked 38 hours; this week she worked 46 hours. What is her gross pay for this two-week period?

• $840

• $936

• $1008

• $1044

Gretchen is hired as a sales person, and her base salary will be minimum wage. However, she will earn a $200 commission for every sale she makes. Her new boss let her know that most salespeople at this firm average 8-10 sales a week except for the month of January when sales drop dramatically and do not pick up until mid-February or early March. How will this impact Gretchen’s personal budget?

• She cannot create a budget since her earning will vary a lot.

• She should create a budget when she can live on minimum wage.

• She needs to save money for the weeks when commissions are low.

• She should assume that she will earn eight commissions a week all year.

Gretchen is hired as a sales person, and her base salary will be minimum wage. However, she will earn a $200 commission for every sale she makes. Her new boss let her know that most salespeople at this firm average 8-10 sales a week except for the month of January when sales drop dramatically and do not pick up until mid-February or early March. Is this legal?

• No, working on commission is illegal in many states.

• Yes, it pays minimum wage and commission income often varies.

• No, employers need to make sure that employees have a steady income.

• Yes, but this is a very usual arrangement for those who work on commission.