Question: Please write down the calculation process. Charles Lackey operates a bakery in Victoria, BC. Because of its excellent product and excellent location, demand has increased

Please write down the calculation process.

Please write down the calculation process.

Charles Lackey operates a bakery in Victoria, BC. Because of its excellent product and excellent location, demand has increased by 55% in the last year. On far too many occasions, customers have not been able to purchase the bread of their choice. Because of the size of the store, no new ovens can be added. At a staff meeting, one employee suggested ways to load the ovens differently so that more loaves of bread can be baked at one time. This new process will require that the ovens be loaded by hand, requiring additional manpower. This is the only production change that will be made in order to meet the increased demand. The bakery currently makes 1,600 loaves per month. The pay is $8 per hour for employees and each employee works 160 hours per month. If Charles Lackey's utility costs remain constant at $600 per month, labour at $8 per hour, and cost of ingredients at $0.40 per loaf, what will the productivity of the bakery be? What will be the percent increase or decrease? Current multifactor productivity for 640 work hours = 10.252 loaves/dollar (round your response to three decimal places). After increasing the number of work hours to 992, the multifactor productivity = 0.174 loaves/dollar (round your response to three decimal places). The percentage increase in productivity = % (enter your response as a percentage rounded to two decimal places)

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related General Management Questions!