frieda’s employer offers her family health care. frieda must contribute 12% of the cost, and her employer…

frieda’s employer offers her family health care. frieda must contribute 12% of the cost, and her employer will cover the rest. frieda gets paid on a biweekly basis, and she notices that $88.50 is taken out of each paycheck for her portion of the contribution to the family health care coverage. how much does frieda’s employer contribute for her coverage? $749 $649 $849 $737
Answer
Explanation:
Step1: Find total cost of health - care per paycheck
Let the total cost of health - care per paycheck be $x$. We know that Frieda contributes 12% of the cost, and her contribution is $88.50. So we can set up the equation $0.12x = 88.50$. Solving for $x$ gives $x=\frac{88.50}{0.12}=737.5$.
Step2: Find employer's contribution per paycheck
The employer contributes $(1 - 0.12)$ of the total cost. So the employer's contribution per paycheck is $0.88\times737.5 = 649$.
Answer:
$649$