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A person has completed ten years and five months of service in an oraganisation. At the rate of 15 days wages for every completed year of service which of the following will be payable to the employee as gratuity:
165 days
150 days
180 days
156 days
150 days.
Gratuity is a benefit which is payable under the Payment of Gratuity Act 1972. Gratuity is a sum of money paid by an employer to an employee for services rendered in the company. However, gratuity is paid only to employees who complete 5 or more years with the company. It can be understood as a form of tip paid by employer to the employee for services offered in the company. Since tips are a function of culture, various countries have various gratuity limits that are doled out by employers.To calculate the gratuity amount you are eligible to receive, the last drawn salary will be considered. The last drawn salary includes basic salary, dearness allowance, commission received on sales.
By: santosh ProfileResourcesReport error
LAXMI LAMANI
not understanding ase explain it clearly and how the answer is 150
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