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A fast food restaurant has a drive -through window and during peak lunch times can handle a maximum of 80 cars per hour with one person taking orders, assembling them, and acting as a cashier. The average sale as per order is of the order of Rs.100. A proposal has been made to add two additional workers and divide the tasks among them. One will take orders, the second will assemble them, and the third will act as cashier. With this system it is estimated that 120 cars per hour can be serviced. All workers earn the minimum wage. Use productivity arguments to recommend whether or not to change the current system.

Accounting Basics, Accounting

  • Category:- Accounting Basics
  • Reference No.:- M9413586

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