Question: Problem 3) ABC Company sells rolls for $2.50 per unit. To produce 2,000 rolls, the typical store uses 120 hours of direct labor at $10

Problem 3)

ABC Company sells rolls for $2.50 per unit. To produce 2,000 rolls, the typical store uses 120 hours of direct labor at $10 per hour and $600 of direct materials. It also has overhead costs of 1.5 times direct labor costs.

Multifactor Productivity Ratio: What is the productivity of the process in dollar value of units produced per total cost (Direct Labor + Direct Materials + Overhead)? Show your work and round your answer to two decimal points.

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