Question: Munson Performance Auto, Inc., modifies 475 autos per year. The manager, Adam Munson, is interested in obtaining a measure of overall performance. He has asked

Munson Performance Auto, Inc., modifies 475 autos per year. The manager, Adam Munson, is interested in obtaining a measure of overall performance. He has asked you to provide him with a multifactor measure of last year's performance as a benchmark for future comparison. You have assembled the following data. Resource inputs were: labor, 10,000 hours; 520 suspension and engine modification kits; and energy, 120,000 kilowatt-hours. Average labor cost last year was $30 per hour, kits cost $1,000 each, and energy costs were $5 per kilowatt-hour. The overall performance at Munson Performance Auto, Inc. = autos/dollar of input (round your response to six decimal places)
Step by Step Solution
There are 3 Steps involved in it
Get step-by-step solutions from verified subject matter experts
