Assume a midpoint of 32000 per year and a 40 range spread


Determine the right solution of the following peoblem-

Problem- Calculate the minimum and maximum for a a pay grade with a midpoint of $30,000 per year and a range spread of 40%.

Part 1- Assume a 30% range spread, what is the midpoint for a pay grade with a minimum of $21,250 annually?

Part 2- Assume a midpoint of $32,000 per year and a 40% range spread. The individual is currently being paid at an 83% compa-ratio. The individual receives a 7% pay increase. On January 1, 2014 the entire pay grade increases by 2.5% (the rate of inflation).

i- Calculate the new compa-ratio for this individual after receiving the 7% pay
increase.

ii- Calculate the new midpoint, minimum, and maximum as of January 1, 2015.

iii- Calculate the individual's new compa-ratio as if January 1, 2015

Part 3- Assume Pay Grade A has a midpoint of $42,000 per hour with a 40% pay spread.
Pay Grade B had a minimum pay of $60,000 per hour.

i- Calculate the pay overlap between these 2 pay grades.

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