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 2 years are as follows:

Required

In your calculations, use 4 significant digits after the decimal point.

1. Compute the partial operational productivity for both direct materials and direct labor for each of the 2 years.

2. On the basis of the partial operational productivity that you computed, what conclusions can you draw about the firm€™s productivity in 2019 relative to 2018?

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2018 1,000,000 1,050,000 200,000 $135 $62 2019 Units manufactured Number of CT 140 used Number of direct labor hours spent Cost of CT 140 per unit Direct labor wage rate per hour 750,000 900,000 $156 $56