Exercise : Productivity Calculation1) JayB Clothing has opened four new stores in college towns across the state.Data on monthly sales volume and labor hours are given below. Which storelocation has the highest labor productivity?StoreKangarBeseriArauKuala PerlisSales Volume RM40,000RM12,000RM60,000RM25,000Labor Hours250605002002) JayB Clothing’s accountant (from problem 1) suggests that monthly rent andhourly wage rate also be factored into the productivity calculations. Kangarpays the highest average wage at RM5.70 an hour; Beseri pays RM5.50 an hour;Arau RM5 and Kuala Perlis RM4.50. The cost to rent store space is aboutRM1,600 a month in Kangar, RM2,100 in Beseri, RM1,000 a month in Arauand RM800 a month in Kuala Perlis. Which store is most productive?3) JayB Clothing is not sure it can keep all stores open. Based on multifactorproductivity, which store would you close?

PRODUCTIVITY = OUTPUT/INPUT USED Productivity can be single-factor productivity or multifactor…

Answered: 1) JayB Clothing has opened four new…

Practical Management Science

6th Edition

ISBN:9781337406659

Author:WINSTON, Wayne L.

Publisher:WINSTON, Wayne L.

Chapter2: Introduction To Spreadsheet Modeling

Section: Chapter Questions

Problem 20P: Julie James is opening a lemonade stand. She believes the fixed cost per week of running the stand...

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1) JayB Clothing has opened four new stores in college towns across the state. Data on monthly sales volume and labor hours are given below. Which store location has the highest labor productivity? Store Sales Volume RM40 000 Kangar Beseri Arau Kuala Perlis RM12 000 RM60 000 RM25 000