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Description of Productivity

Please read the problem below and respond to (a) and (b) illustrating the work of how the answer was derived.

David Upton is president of Upton Manufacturing, a producer of Go-Kart tires. Upton makes 1,000 tires per day with the following resources:

Labor: 520 hours at $13 per hour
Solvent: 100 gallons at $5 per gallon
Machine Rental: 20 days at $50 per day

a. What is the labor productivity per dollar?

b. What is the multifactor productivity?

 

Business Economics, Economics

  • Category:- Business Economics
  • Reference No.:- M924071

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