The following table displays data on the average number of customers processed by several bank service units each day. The hourly wage rate is $25 and the overhead rate is 1.0 times labour cost, and material cost is $5 per customer.

Unit Employee s Customer processed/day

A 4 36

B 5 40

C 8 60

D 3 20

1) Calculate the labour productivity and the multifactor productivity for each unit. Utilize an eight-hour day for multifactor productivity.

2) Presume a new more standardized process is to be introduced that will enable each employee to process one additional customer per day. Calculate the expected labour and multifactor productivity rates for each unit.