Productivity Calculations:

A company has made some efforts in improving productivity and it would

like to know if it is maintaining an average of $5\%$ increase in productivity per

year. The data below represents one month from last year and an equivalent

month this year:

Last Year This Year

Units Produced $1,0001,200$

Labor $($hours$)300310$

Material $($pounds$)7072$

Energy $($Btu$)3,0002,950$

Calculate the productivity change for each resource.

Determine the overall productivity with dollars as the common denominator.

The cost data for last year was $(1)$ labor $$15/$hour$,(2)$ material $$15/$pound$,(3)$

energy $$0\mathrm{.}70/$Btu$,$ and for this year is $(1)$ labor $$15\mathrm{.}50/$hour$,(2)$ material

$$14\mathrm{.}5/$pound$,(3)$ energy $$0\mathrm{.}75/$Btu$.$