Sailmaster makes high-performance sails for competitive windsurfers. Below is information about the inputs and outputs for one model, the Windy 2000 for the years 2019 and 2020.

	2019	2020
Units sold	1,217	1,452
Sales price per unit	$1,700	$1,750
Total labour hours	46,672	48,388
Wage rate	$12/hour	$12.50
Total materials	$60,000	$70,000
Total energy	$4,000	$4500

Calculate the productivity in (i) sales revenue/labour expense and (ii) the multifactor productivity for 2019 and 2020. What is the percentage change in both measures of productivity?

PART2:

The following table provides the number of cars sold within the city of Metropolis:

Month	Cars Sold
May	360
June	389
July	410
August	381
September	368
October	374

a) Forecast the demand for the months of August, September, October, and November:

1. using a 3-month moving average
2. using a nave forecasting method
3. using exponential smoothing with a forecast for May of 300 and=.2

b) After calculating the forecasts, it was determined that November sales are 350. Find the MAD for each forecast method (August to November) and indicate which method provides a more accurate forecast.

PART 3:

What is the expected output for a plant with a design capacity of 108 chairs per day, if its effective capacity is 90 chairs and its efficiency is 90%?

A work centre operates 2 shifts per day, 5 days per week (8 hours per shift) and has 4 machines of equal capability. This is the effective capacity. If the work centre has a system efficiency of 95%, what is the expected output in hours per week?

PART 4:

Janelle Heinke, the owner of Hot Pizza! is considering a new oven in which to bake the firm's signature dish, vegetarian pizza. Oven type A can handle 20 pizzas per hour. The fixed costs associated with oven A are $20,000 and the variable costs are $2.00 per pizza. Oven B is larger and can handle 40 pizzas an hour. The fixed costs associated with oven B are $30,000 and the variable costs are $1.25 per pizza. The pizzas sell for $14 each.

1. What is the break-even point for each oven?
2. If the owner expects to sell 9,000 pizzas, which oven should she purchase?
3. If the owner expects to sell 12,000 pizzas, which oven should she purchase?

At what volume should Janelle switch ovens? (Hint: this occurs when the profits are the same for both ovens)