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Helena Company needs to increase its profits and so has embarked on a program to increase its overall productivity. After one year of operation, Kent

Helena Company needs to increase its profits and so has embarked on a program to increase its overall productivity. After one year of operation, Kent Olson, manager of the Columbus plant, reported the following results for the base period and its most recent year of operations:

20x1 20x2
Output 184,200 216,200
Power (quantity used) 23,025 10,900
Materials (quantity used) 36,840 47,400

Suppose the following input prices are provided for each year:

20x1 20x2
Unit price (power) $ 2 $ 3
Unit price (materials) 16 15
Unit selling price 10 12

Required:

1. Compute the profit-linked productivity measure. By how much did profits increase due to productivity? If required, round your intermediate calculations and final answers to the nearest dollar amount. $fill in the blank 1

2. Calculate the price-recovery component for 20x2. If required, round your intermediate calculations and final answers to the nearest dollar amount. $fill in the blank 2

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