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Exoletica, Inc. is a retail store that had sales of $1,250,000 in July and $1,500,000 in August. The store has 25 full-time employees and each employee works 8 hours per day. In the month of July, the store also had 15 part-time employees and each part-time employee worked 4 hours per day. In the month of August, the store also had 18 part-time employees and each part-time employee worked 4 hours per day. Assume that there are 20 work days in each month.

a. What is the labor productivity (expressed in sales dollars earned per labor-hour) for the month of July?

b. What is the labor productivity (expressed in sales dollars earned per labor-hour) for the month of August?

c. What is the percentage change in labor productivity from July to August? Did the labor productivity increase, decrease, or remain the same?

Operation Management, Management Studies

  • Category:- Operation Management
  • Reference No.:- M92503361

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