A public works project requires certified payroll records. The prevailing wage for an electrician is $52.75 per hour with $18.50 in fringe benefits. If an electrician works 8 hours, what is the total prevailing wage obligation?
Correct Answer
D) $570.00 including fringes
The total prevailing wage obligation includes both the hourly wage and fringe benefits: ($52.75 + $18.50) × 8 hours = $71.25 × 8 = $570.00. This represents the complete prevailing wage obligation.
Why This Is the Correct Answer
Option D correctly calculates the total prevailing wage obligation by combining both the hourly wage and fringe benefits. The calculation is ($52.75 + $18.50) × 8 hours = $71.25 × 8 = $570.00. Prevailing wage laws require contractors to pay the full prevailing wage rate, which includes both the base wage and fringe benefits as a complete package. This represents the contractor's total obligation per worker.
Why the Other Options Are Wrong
Option A: $422.00
This option only calculates the base wage portion ($52.75 × 8 = $422.00) and completely ignores the required fringe benefits of $18.50 per hour. This violates prevailing wage requirements which mandate payment of both components.
Option B: $570.00
While this shows the correct total amount of $570.00, it fails to specify that this includes fringe benefits. The answer lacks clarity about what components make up this total, which is important for prevailing wage compliance documentation.
Option C: $422.00 plus $148.00 in fringes
This option separates the wage and fringe components ($422.00 + $148.00) rather than presenting the unified total prevailing wage obligation. While mathematically correct, it doesn't reflect how prevailing wage obligations are typically expressed as a single total rate.
Memory Technique
Remember 'WAGE + FRINGE = TOTAL OBLIGATION' - prevailing wage is always the complete package, like buying a car where the sticker price includes all fees.
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