Connally Company\'s payroll department recuired that every time card be checked

Question

Connally Company's payroll department recuired that every time card be checked twice to ensure pay accuracy. The company has 1,000 employees and has determined that have decided to change this policy and only check those names which appear on the exceptions report and a random Determine the inspection activity cost per employee on the 1,000 employees both before and on the entire payrol. Currently only 15% of the payroll is evaluated each payroll. after the improvement. Round your answers to two decimal places, if necessary Inspection activity before improvement Inspection activity after improvement per employee per employee

Explanation / Answer

Inspection activity before improvement: $8,000/1,000 employees = $8 per employee

Inspection activity after improvement: ($8,000 * 15%) / 1,000 employees= $1.20 per employee

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