Answer to Question #292246 in Finance for Kelsey Jand

Question

Activity One - Analyzing Your Pay Stub

This module identifies the different types of taxes and how taxes impact our finances.

Analyze this sample pay stub and answer the questions that follow.

Sample Pay Stub: https://lrccd.instructure.com/courses/159612/files/33420065/preview

Question 3:

Which statement below accurately describes Hope's gross wages?

a. Gross wages are calculated by multiplying Hope’s hourly rate by the number of hours she worked

b. Gross wages are Hope’s fixed salary, which she receives for every pay period

c. Gross wages are calculated by subtracting all of Hope’s deductions from her gross income

d. Gross wages are how much Hope has earned over the course of the entire year

Answer 1

Gross wages are calculated by multiplying Hope’s hourly rate by the number of hours she worked before taxes and other deductions.

So, the correct answer is a.