Paul Tuttle is President of Orange County Choppers, producer of motorcycle tires. Tuttle makes 1,000 tires per
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Question:
Paul Tuttle is President of Orange County Choppers, producer of motorcycle tires. Tuttle makes 1,000 tires per day with the following resources:
Labor: | 400 hours per day @ $12.50 per hour |
Raw Materials: | 20,000 pounds per day @ $1 per pound |
Energy: | $5,000 per day |
Capital Costs: | $10,000 per day |
What is the multifactor productivity for these tires at Orange County Choppers?
A. | 0.052 tires/dollar | |
B. | 0.005 tires/dollar | |
C. | 0.0030 tires/dollar | |
D. | 0.025 tires/dolla |
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