1) Eric Johnson makes billiard balls in his New England plant. With recent increases in his costs, he has a new-found interest in efficiency.

Eric is interested in determining the productivity of his organization. He would like to know if his organization is maintaining the manufacturing average of 3% increase in productivity. He has the following data:

2) Show the productivity change for each category and then determine the improvement for labor-hours, the typical standard for comparison.
Also, if Eric determines his costs to be as follows:
• Labor $10 per hour
• Resin $5 per pound
• Capital 1% per month of investment
• Energy $.50 per BTU
Show the productivity change, for one month last year versus one month this year, on a multifactor basis with dollars as the commondenominator.

OutPut Produced Units Last year Now 1000 1000 Input Usage quantity Last year Now 300 Labor (hours) Resin (pounds Capital invested (S Energy (BTU 45 1000011000 30002850