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18. A U.S. manufacturing company operating a subsidiary in an LDC (less-developed coun- try) shows the following results: U.S. LDC Sales (units) 100,000 20,000 Labor

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18. A U.S. manufacturing company operating a subsidiary in an LDC (less-developed coun- try) shows the following results: U.S. LDC Sales (units) 100,000 20,000 Labor (hours) 20.000 15,000 Raw materials (currency) $20,000 (US) 20,000 (FC Capital equipment (hours) 60,000 5,000 a. Calculate partial labor and capital productivity figures for the parent and subsidiary. Do the results seem confusing? b. Compute the multifactor productivity figures for labor and capital together. Do the results make more sense? c. Calculate raw material productivity figures (units/s where $1 = 10 units of the foreign currency). Explain why these figures might be greater in the subsidiary. 19. Various financial data for the past two years follow. Calculate the total productivity mea- sure and the partial measures for labor, capital, and raw materials for this company for both years. What do these measures tell you about this company? Last Year This Year Output: Sales $200,000 $220,000 Input Labor 30,000 40,000 Raw materials 35,000 45,000 Energy 5.000 6.000 Capital 50,000 50,000 Other 2,000 3,000

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