Question: The average charge for billable hours is $300 and the average cost per labor hour is $100. Invested capital is exclusive of information technology investment.
| The average charge for billable hours is $300 and the average cost per labor hour is $100. Invested capital is exclusive of information technology investment. The productivity of an individual factor involves comparing the cost of that input factor to the value of the output, which is billable hours. | ||
| 1. what is the output in hours? | ||
| 2.a. What is the labor productivity for 2021 in dollars? | ||
| 2.b. What is the labor productivity for 2022 in dollars? | ||
| 2.c. what is the percent change in productivity?
| ||
| 2021 |
| 2022 |
| 120,000 |
| 130,000 |
| 150,000 |
| 160,000 |
| $4,000,000 |
| $5,400,000 |
| $3,200,000 |
| $8,500,000 |
| $5,000,000 |
| $7,000,000 |
| $3,000,000 |
| $4,500,000 |
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