Products X and Y are being manufactured by a company using materials A and B. Both materials are equally suitable. Product X is expected to sell at ` 75 per unit and product Y at ` 35 per unit.

The operating data is given below:

Compare the productivity of material, labour and electrical energy in using materials A and B.
Comment on the relative advantage of using either of the materials.

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Particulars Output X Y Quantity of raw material usage 1000 kg Labour usage Material A 200 units 300 units Material B 400 units 200 units 1000 kg 300 man-hours 250 man-hours Electric energy consumption 1000 kwhr 1500 kwhr Cost of raw material/kg 22 33 Labour cost per man hour 10 10 Electric energy cost/kwhr 2.0 2.0