The answer is $12792
Explanation:
It is known Tessa pays $108.00 to contribute to family coverage every two weeks and this represents 18% of the total payment. This implies the employer pays the 82% missing (100% - 18% = 82%). Additionally, with this information, it is possible to know the amount the employer has to pay every two weeks that represents 82%. The process is shown below:
1. Write the values you know and use x to represent the value you need to find
108 = 18
x = 82
3. Cross multiply
x 18 = 8856
4. Find the value of x by solving this simple equation
x = 8856 ÷ 18
x = 492 - Amount the employer pays every two weeks for Tessa's family coverage
Now that we know the money the employer pays every two weeks, it is possible to calculate the annual amount of money. Follow the process below.
1. Consider one year has a total of 52 weeks and divide this number of weeks by 2 because the payment for the family coverage occurs every 2 weeks
52 ÷ 2 = 26
2. Finally, multiply the money paid by the employer every two weeks by 26
26 weeks x $492 = $12792- This is the total the employer pays annually
