Ok so this might be a really dumb question but how do you find the monthly change? I keep dividing the productivity by different things but Im still not getting it right. Thanks for your help in advance.
Exercise 16-38 Productivity Measures for Service Businesses [LO 16-2] Our examples in the chapter have focused on manufacturing, where the output is units of product and the inputs are manufacturing activities or costs. The concept of productivity can be applied in a variety of settings, wherever there are inputs and outputs. For example, consider Landscape City, a landscape design company that specializes in small landscape projects for people living in cities. Amanda Caldwell, the assistant manager, is in the process of trying to determine if productivity has been improving since she was hired 6 months ago. Because it is a design firm, labor is the only significant expense, but Amanda is unsure if the number of projects or the dollar of sales volume should be used when computing productivity. She has collected these data for sales and labor expenses for the past 6 months: Number of Projects Month 50 Labor Expense $24,220 34,560 20,992 14,794 15,526 22,192 60 UWN Sales Dollars $21,690 23,500 30, 380 20,160 23,280 23, 120 Required: 1. Calculate the productivity for each month and the change in productivity from month to month using number of projects as the measure of output. 2. Calculate the productivity for each month and the change in productivity from month to month using sales dollars as the measure of output. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Calculate the productivity for each month and the change in productivity from month to month using number of projects as the measure of output. (Round your answers to 4 decimal places. Negative amounts should be indicated by a minus sign.) Month 1 Number of Projects Monthly Change 50 72 2 1.0000 x Labor Expense $ 24,220 $ 34,560 $ 20,992 $ 14,794 $ 15,526 $ 22,192 Productivity 0.00210 0.0021 0.0029 0.0010 0.0013 0.0027 5 6 15 20 60 Required 1 Required 2 > Complete this question by entering your answers in the tabs below. Required 1 Required 2 Calculate the productivity for each month and the change in productivity from month to month using sales dollars as the measure of output. (Round your answers to 4 decimal places. Negative amounts should be indicated by a minus sign.) Month Monthly Change 3 Labor Expense $ 24,220 $ 34,560 $ 20,992 $ 14,794 $ 15,526 $ 22,192 $ $ $ $ $ $ Sales Dollars 21,690 23,500 30,380 20,160 23,280 23,120 Productivity 0.89550 0.6800 1.4472 1.3627 1.4994 1.0418 6
