Calculate multifac tor productivity for each week shown

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Productivity.

The manager of a crew that installs wood floors has tracked the ciew's output over the past several weeks. Each worker works 35 hours per week, and earns $19 per hour.

The wholesale cost of lumber to the company is $6 per square foot, and the company charges its customers $21 per square foot of flooring installed :      

Week

Crew Size

Lumber used(sq.ft)

Flooring Installed (Sq ft)

1

6

480

430

2

4

381

335

3

2

260

228

4

5

252

487

a. Calculate labor productivity for each of the weeks shown.

b. Suppose that in addition to labor cost and wholesale lumber cost, the Ennis overhead is 140% of its labor cost. Calculate multifac tor productivity for each week shown

II. In a few paragraphs, explain why

a. Productivity is important concept to a business or government entity

b. Measuring productivity is also very important to an entity

Reference no: EM131922077

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