Orleans Manufacturing estimates that its office employees will earn $87,000 next year and its factory employees will earn $272,000. The firm pays the following rates for workers' compensation insurance: $0.55 per $100 of wages for the office employees and $4.75 per $100 of wages for the factory employees. Compute the estimated premiums for the office and factory employees.
What will be an ideal response?
Office employees, $478.50; factory employees, $12,920
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