Homework Help is Here – Start Your Trial Now!
Business
Operations Management
a) Compute the labor productivity and the multifactor productivity for each unit. Use an eight hour day for multifactor productivity Labor Productivity =LP =Output/labor

a) Compute the labor productivity and the multifactor productivity for each unit. Use an eight hour day for multifactor productivity Labor Productivity =LP =Output/labor

Practical Management Science
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...
See similar textbooks
icon
Related questions
Question
100%

Please see attachment... I started working the problems but I'm not sure if I have all the steps correctly for part A. 

b) Suppose a new, more standardized procedure is to be introduced that will enable each employee to process two additional customer per day. Compute the expected labor and multifactor productivity rates for each unit. I
Transcribed Image Text:b) Suppose a new, more standardized procedure is to be introduced that will enable each employee to process two additional customer per day. Compute the expected labor and multifactor productivity rates for each unit. I
The following shows data on the average mumber of customers processed by several bank service units each day. The hourly wage rate is $15, overhead rate is 1.25 times labor cost, and material cost is $3 per customer. Unit Employees Customers processed per day A 25 4 45 48 D 60 a) Compute the labor productivity and the multifactor productivity for each unit. Use an eight hour day for multifactor productivity Labor Productivity =LP =Output/labor Unit A. 25/2=12.5 Customer service per employee Unit B. 45/4=11.25 Customer service per employee Unit C. 48/5=9.6 Customer service per employee Unit D. 60/6=10 Customer service per employee Multifactor productivity= MFP= Output / labor (S) +Material ($) + Overhead (S) Unit A. 25/ (2*8*15) +25*3+ 1.25* (2*8*15) 25/ (240 75 300) =615 25/615= 24.6 MFP A= 24.6||
Transcribed Image Text:The following shows data on the average mumber of customers processed by several bank service units each day. The hourly wage rate is $15, overhead rate is 1.25 times labor cost, and material cost is $3 per customer. Unit Employees Customers processed per day A 25 4 45 48 D 60 a) Compute the labor productivity and the multifactor productivity for each unit. Use an eight hour day for multifactor productivity Labor Productivity =LP =Output/labor Unit A. 25/2=12.5 Customer service per employee Unit B. 45/4=11.25 Customer service per employee Unit C. 48/5=9.6 Customer service per employee Unit D. 60/6=10 Customer service per employee Multifactor productivity= MFP= Output / labor (S) +Material ($) + Overhead (S) Unit A. 25/ (2*8*15) +25*3+ 1.25* (2*8*15) 25/ (240 75 300) =615 25/615= 24.6 MFP A= 24.6||
Expert Solution
trending now

Trending now

This is a popular solution!

steps

Step by step

Solved in 3 steps with 5 images

SEE SOLUTIONCheck out a sample Q&A here
Blurred answer
Knowledge Booster
Team dynamics
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, operations-management and related others by exploring similar questions and additional content below.
Similar questions
Recommended textbooks for you
Practical Management Science
Practical Management Science
Operations Management
ISBN:
9781337406659
Author:
WINSTON, Wayne L.
Publisher:
Cengage,
Operations Management
Operations Management
Operations Management
ISBN:
9781259667473
Author:
William J Stevenson
Publisher:
McGraw-Hill Education
Operations and Supply Chain Management (Mcgraw-hi…
Operations and Supply Chain Management (Mcgraw-hi…
Operations Management
ISBN:
9781259666100
Author:
F. Robert Jacobs, Richard B Chase
Publisher:
McGraw-Hill Education
Business in Action
Business in Action
Operations Management
ISBN:
9780135198100
Author:
BOVEE
Publisher:
PEARSON CO
Purchasing and Supply Chain Management
Purchasing and Supply Chain Management
Operations Management
ISBN:
9781285869681
Author:
Robert M. Monczka, Robert B. Handfield, Larry C. Giunipero, James L. Patterson
Publisher:
Cengage Learning
Production and Operations Analysis, Seventh Editi…
Production and Operations Analysis, Seventh Editi…
Operations Management
ISBN:
9781478623069
Author:
Steven Nahmias, Tava Lennon Olsen
Publisher:
Waveland Press, Inc.
SEE MORE TEXTBOOKS