10 If gross pay increases by \( \$ 500 \), total employee benefits increase by \( \$ 200 \) and total job expenses decrease by \( \$ 300 \), then total employment compensation a. increases by \( \$ 400 \) b. increases by \( \$ 700 \) c. increases by \( \$ 800 \) d. increases by \( \$ 1,000 \)
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Let's break this down! Gross pay increased by \( \$ 500 \), which adds directly to the total compensation. Total employee benefits increased by \( \$ 200 \), which also contributes to the total. Finally, job expenses decreased by \( \$ 300 \), effectively giving the employee that amount back as they are now spending less. So, if we sum these changes: Increased gross pay: \( +500 \) Increased benefits: \( +200 \) Decreased expenses: \( +300 \) Adding them up gives us: \( 500 + 200 + 300 = 1000 \) So, the total employment compensation increases by \( \$ 1,000 \). The correct answer is (d) increases by \( \$ 1,000 \).