Question
The Monterry Company has recorded the follow date: 2014 2015 Output 42,000 48,0000 Selling price per unit 12 12 Input quanitities Materials (pounds) 8,000 7,500
2014 2015
Output 42,000 48,0000
Selling price per unit 12 12
Input quanitities
Materials (pounds) 8,000 7,500
Labors (hours 5,000 6,000
Input prices
Materials (pounds) 4.00 5.00
Labors (hours 8.00 9.00
Required:
1 Calculate the materials productivity ratios for 2014 and 2015
2 Calculate the labot productivity ratios for 2014 and 2015
3 How much did porfits change as a result of changes in productivity related to materials?
4 How much did porfits change as a result of changes in porductivity related to labor?
Step by Step Solution
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There are 3 Steps involved in it
Step: 1
1 The formula for calculation of raw material productivity is Material Productivity Value of output ...
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Step: 2
Step: 3
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Financial and Managerial Accounting
Authors: Carl S. Warren, James M. Reeve, Jonathan Duchac
12th edition
978-1133952428, 1285078578, 1133952429, 978-1285078571
