Question 1: Productivity

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. ?

b)If Unit B is able to increase its number of customers processed per day from 36 to 50, what will its new multifactor productivity be?

c)What is the percentage change in factor productivity?