What is the difference between a salary and an hourly wage?
A) A salary is paid for the hours you work, while an hourly wage is a set amount paid each year.
B) A salary is a fixed amount of money regardless of hours worked, while an hourly wage is paid based on the number of hours worked.
C) A salary is only paid to employees with benefits, while hourly wages do not have benefits.
D) There is no difference; both are the same.
What is the difference between a salary and an hourly wage?
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The correct answer is B) A salary is a fixed amount of money regardless of hours worked, while an hourly wage is paid based on the number of hours worked.
Explanation: Salary refers to a predetermined annual amount paid to an employee, regardless of how many hours they work each week. In contrast, an hourly wage is calculated based on the total number of hours worked, meaning that the total pay can vary based on hours worked each week. This distinction is important for understanding different employment structures and compensation models.