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Compute the multifactor productivity measure for each of the days shown for production of chocolate bars in Table below. What do the figures suggest? Assume 10 hour day and an hourly rate of $12. Overhead cost is 1.25 times daily labor rate. Material cost is $5 per pound.
Day Output Workers Materials (Pounds)
1 4000 4 50
2 6500 7 80
3 8000 11 120
4 1000 3 55
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