Compute the multifactor productivity measure for each of the weeks shown. What do the productivity figures suggest? Assume workers work 40-hour weeks with an hourly wage of $16. Overhead is 1.25 times the weekly labor cost. Material cost is $40 per pound.
Week Output (in units) Workers Material (in pounds)
1 88000 150 625
2 94000 16 675
3 92000 16 660
4 102000 17 725