The following table shows data on the average number of customers processed by several bank service units each day. The hourly wage rate is $ 25, the overhead rate is 1.0 times labor cost, and material cost is $ 5 per customer.

a. Compute the labor productivity and the multifactor productivity for each unit. Use an eight-hour day for multifactor productivity.
b. Suppose a new, more standardized procedure is to be introduced that will enable each employee to process one additional customer per day. Compute the expected labor and multifactor productivity rates for eachunit.

  • CreatedDecember 30, 2014
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