question archive The following table shows data on the average number of customers processed by several bank service units each day

The following table shows data on the average number of customers processed by several bank service units each day

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The following table shows data on the average number of customers processed by several bank service units each day. The hourly wage rate is $20, the overhead rate is 1 times labor cost, and the material cost is $6 per customer.

Units              Employees             Customers Processed

  A                       3                             38

  B                       6                             43

  C                       4                             60

  D                       4                             30

a.Compute the labor productivity and the multifactor productivity for each unit. Use an 8 hour day for multifactor productivity.  (Round your "Labor Productivity" answers to 1 decimal place and "Multifactor Productivity" answers to 3 decimal places.)

                     Labor Productivity                  Multi-factor Productivity

Unit     (customers per day per worker)    (customer per dollar input)

A                  _______                                        _______

B                  _______                                        _______

C                  _______                                        _______

D                  _______                                        _______

b. Suppose a new, more standardized procedure is to be introduced that will enable each employee to process one additional customer per day. Compute the expected labor and multifactor productivity rates for each unit.  (Round your "Labor Productivity" answers to 1  decimal place and "Multifactor Productivity" answers to 3 decimal places.)

 

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