A contractor's total project cost is $85,000 with materials costing $32,000 and labor costs of $53,000. If the workers compensation rate is 8.5% of labor costs, what is the workers compensation premium?
Correct Answer
B) $4,505
Workers compensation premium = Labor costs × Rate = $53,000 × 0.085 = $4,505
Why This Is the Correct Answer
Workers compensation premium = Labor costs × Rate = $53,000 × 0.085 = $4,505
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Previous Question
A contractor has 12 employees with a total annual payroll of $480,000. If the workers compensation rate is $12.75 per $100 of payroll, what is the annual premium?
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A contractor fails to file a mechanics lien within the statutory deadline under HRS 507. What is the consequence?
