Base wages are $62,000 and employer burden is 24 percent. What total burdened labor cost is budgeted?
Correct Answer
A) $76,880.
Employer burden is $62,000 x 24 percent = $14,880. Total labor cost is $76,880.
Why This Is the Correct Answer
Employer burden is $62,000 x 24 percent = $14,880. Total labor cost is $76,880.
Why the Other Options Are Wrong
Option B: $68,200.
$68,200. is below the supported result for payroll burden calculation; it likely skips a premium-pay or employer-cost component.
Option C: $72,400.
$72,400. is below the supported result for payroll burden calculation; it likely skips a premium-pay or employer-cost component.
Option D: $86,800.
$86,800. is above the supported result for payroll burden calculation; it likely pays the wrong premium tier or counts the same hours twice.
Memory Technique
Payroll Burden ladder for Estimating Labor: hours climb before dollars add up.
Reference Hint
Study anchor (closed-book): memorize Payroll burden calculation from CSLB Law and Business Study Guide; California Employment Development. / California EDD payroll tax and employer burden concepts; know the rule or calculation trigger without relying on exam-room lookup.
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