How is bi-weekly pay calculated according to the formula?

The calculation for bi-weekly pay needs to take into account that there are 26 bi-weekly pay periods in a year. If someone is paid bi-weekly, their annual earnings can be derived from their hourly wage and the number of hours worked during each pay period.

The correct answer details this process by using the formula that multiplies the hourly pay by the hours worked during a pay period and then divides the result by the number of months in a year, which simplifies finding the bi-weekly earnings. However, to accurately reflect the bi-weekly payment, it should actually reflect the total pay in a year divided into 26 pay periods rather than into monthly payments.

This means that to correctly calculate bi-weekly pay, you would typically multiply your hourly pay by the total hours worked in a bi-weekly period and directly related to 26 weeks as opposed to monthly divisions.

While the formula in option A mentions dividing by 12 months, the focus should be on using the period that corresponds to the bi-weekly payment structure, represented more accurately in the other options which emphasize the 26-week calculation. Thus, understanding this framework is crucial when working through payroll calculations and ensuring accurate payment frequencies.