Question: PLease help answer the follwing Adding a new lathe machine into the manufacturing process, a company reduced orocessing time for each unit so that output



Adding a new lathe machine into the manufacturing process, a company reduced orocessing time for each unit so that output is increased by 25% with less material but needed to add one skilled worker to operate the machine. Under the old process, five workers could produce 60 units per hour. Labor costs are $12 /hour and material input were previously $16/ unit. For the new process, the material now is $10 /unit. Overhead is charged at 1.6 times the direct labor cost. Finished units sell for $31 each. What will be the productivity growth if the material price remains the same at $16 in both old and new situations? 2.08% 3.33% 7.69% 5.46% What will be the productivity growth be if the number of workers remains the same, 5 workers, in both old and new situations (material cost remains unchanged as per the original statement? 28.81% 37.33% 71.63\% 56.23% Calculate the old multi-factor old productivity. 5.3% 2.5% 9.5% 3.5% Calculate the new multi-factor productivity. 9.3% 6.0% 7.9% 8.0%
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