Cindy Jo's Hair Salon is concerned about its rising costs of supplies, energy, and labor, so it is considering investing in better equipment, which hopefully will reduce the time required to perform most hairstyles as well as result in better perceived quality by its customers. It predicts that the added investment will increase output levels as well as reduce energy costs, since some of the new equipment (hair dryers) use less electricity. Inputs and Outputs Current (this year) Expected (next year) Hairstyles per week 270 340 Labor costs per week $960 $1,025 Energy costs per week $390 $320 Material costs per week $340 $375 Capital investment $0 $11,000 Using the given information, determine the current and expected single-factor and total productivity measures. Do not round intermediate calculations. Round your answers to three decimal places. Productivity Current (this year) Expected (next year) Labor .281 haircuts/dollar .332 haircuts/dollar Energy .692 haircuts/dollar 1.063 haircuts/dollar Material .794 haircuts/dollar .907 haircuts/dollar Total haircuts/dollar haircuts/dollar What is the percentage change in total productivity? Do not round intermediate calculations. Round your answer to two decimal places. % Cindy Jo's Hair Salon is concerned about its rising costs of supplies, energy, and labor, so it isconsidering investing in better equipment, which hopefully will reduce the time required toperform most hairstyles as well as result in better perceived quality by its customers. Itpredicts that the added investment will increase output levels as well as reduce energy costs,since some of the new equipment (hair dryers) use less electricity.Inputs and OutputsHairstyles per weekLabor costs per weekEnergy costs per weekMaterial costs per weekCapital investmentLaborEnergyMaterialTotalCurrent (this year)270$960$390$340$0Using the given information, determine the current and expected single-factor and totalproductivity measures. Do not round intermediate calculations. Round your answers to threedecimal places.Productivity%Current (this year).281 haircuts/dollarExpected (next year)340$1,025$320$375$11,000.692 haircuts/dollar.794 haircuts/dollarhaircuts/dollarExpected (next year).332 haircuts/dollar1.063 haircuts/dollar.907 haircuts/dollarhaircuts/dollarWhat is the percentage change in total productivity? Do not round intermediate calculations.Round your answer to two decimal places.

Here, I have been given the Inputs and outputs, the basic formula for productivity measure is shown…

Answered: Cindy Jo's Hair Salon is concerned…

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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Cindy Jo's Hair Salon is concerned about its rising costs of supplies, energy, and labor, so it is considering investing in better equipment, which hopefully will reduce the time required to perform most hairstyles as well as result in better perceived quality by its customers. It predicts that the added investment will increase output levels as well as reduce energy costs, since some of the new equipment (hair dryers) use less electricity. Inputs and Outputs Current (this year) Expected (next year) Hairstyles per week 270 340 Labor costs per week $960 $1,025 Energy costs per week $390 $320 Material costs per week $340 $375 Capital investment $0 $11,000 Using the given information, determine the current and expected single-factor and total productivity measures. Do not round intermediate calculations. Round your answers to three decimal places. Productivity Current (this year) Expected (next year) Labor .281 haircuts/dollar .332 haircuts/dollar Energy .692 haircuts/dollar 1.063 haircuts/dollar Material .794 haircuts/dollar .907 haircuts/dollar Total haircuts/dollar haircuts/dollar What is the percentage change in total productivity? Do not round intermediate calculations. Round your answer to two decimal places. %