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Problem 2-3 (Algo) Compute the multifactor productivity measure for each of the weeks shown for production of chocolate bars. Assume 40-hour weeks and an
Problem 2-3 (Algo) Compute the multifactor productivity measure for each of the weeks shown for production of chocolate bars. Assume 40-hour weeks and an hourly wage of $16. Overhead is 1.5 times weekly labor cost. Material cost is $9 per pound. (Round your answers to 2 decimal places.) Week Output (units) 1 28,000 Workers 7 Material (lbs) 420 2 33,000 8 470 3 31,000 8 510 4 35,000 7 530 Click here for the Excel Data File Week 1 2 3 4 MFP (Output / Total Cost) 0.21 0.24 0.23 0.26 x Problem 2-5 (Algo) An operation has a scrap rate of 5%. As a result, 95 sellable pieces per hour are produced. a. How many pieces per hour are produced, including scrap? (Enter your answer as a whole number.) 100 pieces b. What is the potential increase in labor productivity that could be achieved by eliminating the scrap? (Enter your answer as a percentage rounded to one decimal.) The potential increase in labor productivity 0.5%
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