Question 1 Productivity (10 marks) The following table shows data on the average number of customers processed by several vehicle service units each day The hourly wage rate is $25, the overhead rate is 1 0 times labor cost, and material cost is $5 per customer Unit Employee Customers Processed Day A 4 36 B 5 40 C 8 60 D 3 20 a)Compute multifactor productivity for each unit Use an 8 hour day for multifactor productivity (3 marks) b)If Unit B is able to increase its number of customers processed per day from 40 to 50, what will its new multifactor productivity be (3 marks) What is the percentage change in factor productivity

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Question: Question 1: Productivity (10 marks) The following table shows data on the average number of customers processed by several vehicle service units each day. The

Question 1: Productivity (10 marks)

The following table shows data on the average number of customers processed by several vehicle service units each day. The hourly wage rate is $25, the overhead rate is 1.0 times labor cost, and material cost is $5 per customer.

Unit

Employee

Customers Processed/Day

a)Compute multifactor productivity for each unit.Use an 8-hour day for multifactor productivity. (3 marks)

b)If Unit B is able to increase its number of customers processed per day from 40 to 50, what will its new multifactor productivity be? (3 marks)

What is the percentage change in factor productivity?

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