15

Profit-Linked Productivity Measurement In 202, Choctaw Company implements a new process affecting labor and materials. Choctaw Company provides the following information so that total productivity can be valued: Required: 1. Calculate the cost of inputs in 202, assuming no productivity change from 201 to 202. If required, round your answers to the nearest dollar. 2. Calculate the actual cost of inputs for 202. If required, round your answers to the nearest dollar. What is the net value of the productivity changes? If required, round your answers to the nearest dollar. $ How much profit change is attributable to each input's productivity change? If an item is negative, use a minus () sign to indicate. 3. What if a manager wants to know how much of the total profit change from 201 to 202 is attributable to price recovery? Calculate the total profit change. Calculate the price-recovery component. $