Ashley Technology Inc. manufactures a scrambling device for cellular telephones. The device's main component is a delicate part, CT140. CT140 is easily damaged and requires careful handling. Once damaged, it must be discarded. The firm hires only skilled laborers to manufacture and install CT140; however, some are still damaged. Robotic instruments process all other parts. Ashley's operating data for two years is as follows:

Required
1. Compute the partial operational productivity for each of the two years.
2. On the basis of the partial operational productivity that you computed, what conclusions can you draw about the firm's productivity in 2016 relative to 2015?

Transcribed Image Text:

2016 Units manufactured Units of SCU10 used Direct labor hours used Cost of CSU10 per unit Direct labor wage rate per hour 2015 750,000 1,000,000 900,000 1,050,000 50,000 200,000 $135 $62 $156 $56