Which of the following companies offers the greatest total employment compensation?
| | Company A | Company B | Company C | Company D |
| :------------- | :-------- | :-------- | :-------- | :-------- |
| Gross Pay | $37,600 | $36,800 | $38,100 | $39,000 |
| Paid insurance | $2,800 | $2,400 | $2,100 | $1,800 |
| Paid time off | $3,100 | $3,600 | $2,900 | $2,500 |
| Job expenses | $1,200 | $600 | $300 | $800 |
A. Company A
B. Company B
C. Company C
D. Company D
Answer (2)
Calculate Company A's total compensation: $37,600 + $2,800 + $3,100 = $43,500.
Calculate Company B's total compensation: $36,800 + $2,400 + $3,600 = $42,800.
Calculate Company C's total compensation: $38,100 + $2,100 + $2,900 = $43,100.
Calculate Company D's total compensation: $39,000 + $1,800 + $2,500 = 43 , 300. C o m p an y A o ff ers t h e g re a t es tt o t a l e m pl oy m e n t co m p e n s a t i o n : \boxed{A}$.
Explanation
Understanding the Problem We are given a table with the gross pay, paid insurance, paid time off, and job expenses for four companies: A, B, C, and D. We want to determine which company offers the greatest total employment compensation. To do this, we will sum the gross pay, paid insurance, and paid time off for each company. Note that job expenses are not included in the total employment compensation.
Calculating Company A's Total Compensation For Company A, the total compensation is calculated as follows: 37 , 600 + 2 , 800 + 3 , 100 = 43 , 500 So, Company A's total compensation is $43,500.
Calculating Company B's Total Compensation For Company B, the total compensation is calculated as follows: 36 , 800 + 2 , 400 + 3 , 600 = 42 , 800 So, Company B's total compensation is $42,800.
Calculating Company C's Total Compensation For Company C, the total compensation is calculated as follows: 38 , 100 + 2 , 100 + 2 , 900 = 43 , 100 So, Company C's total compensation is $43,100.
Calculating Company D's Total Compensation For Company D, the total compensation is calculated as follows: 39 , 000 + 1 , 800 + 2 , 500 = 43 , 300 So, Company D's total compensation is $43,300.
Comparing Total Compensations and Finding the Greatest Comparing the total compensation for each company, we have: Company A: $43,500 Company B: $42,800 Company C: $43,100 Company D: $43,300 The greatest total employment compensation is $43,500, which is offered by Company A.
Examples
When evaluating job offers, it's important to consider the entire compensation package, not just the gross salary. By adding up the value of benefits like paid insurance and paid time off, you can get a clearer picture of which company is offering the best overall deal. For instance, if you're choosing between two jobs, one with a higher salary but less generous benefits, calculating the total compensation can reveal that the job with the slightly lower salary actually provides more value when benefits are included. This comprehensive approach helps you make informed decisions and maximize your financial well-being.
After calculating the total employment compensation for each company, Company A offers the greatest total at $43,500. Company B follows with $42,800, Company C with $43,100, and Company D with $43,300. Thus, the answer is A. Company A.
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