Question
One company produced 450,000 pieces last year. These are sold for $ 40.00 each. This company has a staff of 75 employees in the production
One company produced 450,000 pieces last year. These are sold for $ 40.00 each. This company has a staff of 75 employees in the production area. The hourly pay is $ 8.25. The work shift is eight hours a day, five days a week. They work 48 weeks a year. In addition, one Saturday a month, 20 employees are selected for a special 10-hour shift at a rate of $ 12.00 per hour. Monthly $ 180,000.00 is invested in materials. This company pays $ 25,000.00 in storage and transportation subcontracts per month. Indirect labor cost equals 110% of direct labor. Last year's profits had a cost of $ 157,000.00. Equipment depreciation is $ 6,575.00 per month. Insurance costs $ 10,000.00 per trimester.
Calculate the following:
a. Partial direct labor productivity b. Partial productivity wages paid c. Partial Productivity Materials d. Total Productivity
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