Refer to Problem 1.13. The pay will be $8 per hour for employees. Marjatta Viitasalo can also

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Refer to Problem 1.13. The pay will be $8 per hour for employees. Marjatta Viitasalo can also improve the yield by purchasing a new blender. The new blender will mean an increase in her investment. This added investment has a cost of $100 per month, but she will achieve the same output (an increase to 1875) as the change in labour-hours. Which is the better decision?
a) Show the productivity change, in loaves per dollar, with an increase in labour cost (from 640 to 800 hours).
b) Show the new productivity, in loaves per dollar, with only an increase in investment ($100 per month more).
c) Show the percent productivity change for labour and investment.

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Operations Management Sustainability and Supply Chain Management

ISBN: 978-0133764345

2nd Canadian edition

Authors: Jay Heizer, Barry Render, Paul Griffin

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