As part of a study for the Department of Labor Statistics, you are assigned the task of evaluating the improvement in productivity of small businesses. Data for one of the small businesses you are to evaluate is shown below. The data are the monthly average of last year and the monthly average this year. Labor: $8 per hour; Capital: 0.843% per month of investment; Energy: $0.60 per BTU. LAST YEAR THIS YEAR Production (dozen) 1,500 1,500 Labor (hours) 350 325 Capital investment ($) 15,000 18,000 Energy (BTU) 3,000 2,700 a) Determine the multifactor productivity with dollars as the common denominator for last year. The multifactor productivity with dollars as the common denominator for last year is__ dozen/$. (Round your response to three decimal places.) b) Determine the multifactor productivity with dollars as the common denominator for this year. The multifactor productivity with dollars as the common denominator for this year dozen/$. (Round your response to three decimal places.) c) Determine the percent change in productivity for the monthly average last year versus the monthly average this year on a multifactor basis. The percent change in productivity for the monthly average is _ %. (Round your response to one decimal place

Practical Management Science

6th Edition

ISBN:9781337406659

Author:WINSTON, Wayne L.

Publisher:WINSTON, Wayne L.

Chapter2: Introduction To Spreadsheet Modeling

Section: Chapter Questions

Problem 20P: Julie James is opening a lemonade stand. She believes the fixed cost per week of running the stand...

See similar textbooks

Related questions

Question

As part of a study for the Department of Labor Statistics, you are assigned the task of evaluating the improvement in productivity of small businesses. Data for one of the small businesses you are to evaluate is shown below. The data are the monthly average of last year and the monthly average this year.

Labor: $8 per hour;

Capital: 0.843% per month of investment;

Energy: $0.60 per BTU.

LAST YEAR THIS YEAR

Production (dozen) 1,500 1,500

Labor (hours) 350 325

Capital investment ($) 15,000 18,000

Energy (BTU) 3,000 2,700

a) Determine the multifactor productivity with dollars as the common denominator for last year.

The multifactor productivity with dollars as the common denominator for last year is____ dozen/$. (Round your response to three decimal places.)

b) Determine the multifactor productivity with dollars as the common denominator for this year.

The multifactor productivity with dollars as the common denominator for this year ____
dozen/$. (Round your response to three decimal places.)