Asked by alonna michaux on Jun 12, 2024
Verified
Martin Manufacturing has implemented several programs to improve its productivity. They have asked you to evaluate the firm's productivity by comparing this year's performance with last year's. The following data are available:
Last Year This Year Output 10,500 units 12,100 units Labour Hours 12,00013,200 Utilities $7,600$8,250 Capital $83,000$88,000\begin{array} { | l | l | l | } \hline & \text { Last Year } & \text { This Year } \\\hline \text { Output } & 10,500 \text { units } & 12,100 \text { units } \\\hline \text { Labour Hours } & 12,000 & 13,200 \\\hline \text { Utilities } & \$ 7,600 & \$ 8,250 \\\hline \text { Capital } & \$ 83,000 & \$ 88,000 \\\hline\end{array} Output Labour Hours Utilities Capital Last Year 10,500 units 12,000$7,600$83,000 This Year 12,100 units 13,200$8,250$88,000 Has Martin Manufacturing improved its productivity during the past year?
Output Units
The units of production or service delivery output by a process or system within a given period.
Labour Hours
The total amount of working time executed by employees, usually measured in hours, for producing goods or delivering services.
- Comprehend and compute multifactor productivity.
Verified Answer
AC
Alexis chaidezJun 16, 2024
Final Answer :
Productivity improved in all three categories this year; utilities showed the greatest increase, and labour the least.
Resource Last Year This Year Change Pct. Change Labour 10500/12000=12100/13200=0.90.044.8%0.88 Capital 10500/7600=1.3812100/8250=1.470.096.2% Energy 10500/83000=0.1312100/88000=0.140.017.69%\begin{array}{|l|l|l|l|l|}\hline\text { Resource } & \text { Last Year } & \text { This Year } & \text { Change } & \text { Pct. Change } \\\hline\text { Labour } & 10500 / 12000= & 12100/13200=0.9&0.04&4.8\% \\&0.88\\\hline\text { Capital } & \begin{array}{l}10500 / 7600= \\1.38\end{array} & 12100 / 8250=1.47 & 0.09 & 6.2 \% \\\hline \text { Energy } & \begin{array}{l}10500 / 83000= \\0.13\end{array} & 12100 / 88000=0.14 & 0.01 & 7.69 \%\\\hline\end{array} Resource Labour Capital Energy Last Year 10500/12000=0.8810500/7600=1.3810500/83000=0.13 This Year 12100/13200=0.912100/8250=1.4712100/88000=0.14 Change 0.040.090.01 Pct. Change 4.8%6.2%7.69%
Resource Last Year This Year Change Pct. Change Labour 10500/12000=12100/13200=0.90.044.8%0.88 Capital 10500/7600=1.3812100/8250=1.470.096.2% Energy 10500/83000=0.1312100/88000=0.140.017.69%\begin{array}{|l|l|l|l|l|}\hline\text { Resource } & \text { Last Year } & \text { This Year } & \text { Change } & \text { Pct. Change } \\\hline\text { Labour } & 10500 / 12000= & 12100/13200=0.9&0.04&4.8\% \\&0.88\\\hline\text { Capital } & \begin{array}{l}10500 / 7600= \\1.38\end{array} & 12100 / 8250=1.47 & 0.09 & 6.2 \% \\\hline \text { Energy } & \begin{array}{l}10500 / 83000= \\0.13\end{array} & 12100 / 88000=0.14 & 0.01 & 7.69 \%\\\hline\end{array} Resource Labour Capital Energy Last Year 10500/12000=0.8810500/7600=1.3810500/83000=0.13 This Year 12100/13200=0.912100/8250=1.4712100/88000=0.14 Change 0.040.090.01 Pct. Change 4.8%6.2%7.69%
Learning Objectives
- Comprehend and compute multifactor productivity.