How many workers are employed at the plant

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
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A manufacturing company produces 72,960 microwave ovens annually at its factory in California in order to
meet expected global demand. To accomplish this, each worker at the plant works 600 hours per quarter (a
quarter = 3 months). The labor productivity at this plant is known to be equal to 0.10 microwave ovens per
labor-hour.
(P.1. - A) How many workers are employed at the plant? Show all the steps and details of your calculations
to get full mark. (
P.1. - B) This company decided to produce now 16,800 additional (i.e., in addition to the 72,900) microwave
ovens. What is the number of additional (i.e., in addition to the number found in part P.1.- A. above) workers
needed to maintain the same level of labor productivity? These additional workers will also work 600 hours
per quarter. Show all the steps and details of your calculations to get full mark.
Transcribed Image Text:A manufacturing company produces 72,960 microwave ovens annually at its factory in California in order to meet expected global demand. To accomplish this, each worker at the plant works 600 hours per quarter (a quarter = 3 months). The labor productivity at this plant is known to be equal to 0.10 microwave ovens per labor-hour. (P.1. - A) How many workers are employed at the plant? Show all the steps and details of your calculations to get full mark. ( P.1. - B) This company decided to produce now 16,800 additional (i.e., in addition to the 72,900) microwave ovens. What is the number of additional (i.e., in addition to the number found in part P.1.- A. above) workers needed to maintain the same level of labor productivity? These additional workers will also work 600 hours per quarter. Show all the steps and details of your calculations to get full mark.
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