Question $1.(20$ points$)$

The manager James at Crafty Looms oversees a team of $18$ artisans: $5$ Master weavers, $6$ Apprentice

weavers, and $7$ Helpers, each bringing a unique skill to the table when it comes to creating intricate

tapestries. The wage structure for each artisan type is as follows: Master Weavers: $$35$ per hour,

Apprentice Weavers: $$28$ per hour, Helpers: $$22$ per hour.

On average, each artisan works $7$ hours per day, with short breaks to maintain focus and precision.

Collectively, they produced $25$ tapestries each day. Besides wages and materials, the workshop had other

operational costs that kept the business running smoothly. These included the cost of premium fabric,

weaving tools, electricity, and general upkeep of the equipment. On average, these miscellaneous

expenses amounted to $$400$ per day.

To meet growing demand, James started to consider purchasing an advanced weaving machine capable

of producing tapestries at high speed while ensuring top$-$notch quality. The cost of operating the machine,

including maintenance and electricity, added an additional $$150$ per day to the previous miscellaneous

expenses.

With the new machine, Crafty Looms could produce an additional $40$ tapestries daily, raising their total

production from $25$ to $65$ tapestries per day. However, the adoption of this machine also required James

to make the tough decision of reducing the workforce. After evaluating the situation, he decided to let go

of $2$ Master Weavers, $3$ Apprentice Weavers, and $3$ Helpers.

James now wants to assess the impact of the new machine on the company's productivity. Productivity is

measured by the number of tapestries produced per day compared to the daily labor costs and additional

expenses.

NOTE $1$: SHOW ALL YOUR WORK. USE $4$ DECIMAL PLACES IN YOUR CALCULATIONS.

NOTE $2$: YOU SHOULD PROVIDE AND EXPLAIN ALL STEPS IN YOUR SOLUTION IN AN EXCEL WORKSHEET.

NAME YOUR WORKSHEET AS Q$1.$

a$)(8$ points$)$ What is the current daily productivity level at Crafty Looms?

b$)(8$ points$)$ What will be the daily productivity level at Crafty Looms if James adapts the new machine?

c$)(4$ points$)$ What is the expected percentage change in daily productivity at Crafty Looms if James

adapts the new machine?