Labor-hour for thesetires at skies manaufacturing

Reference no: EM13338401

David Skies is the president of Skies Manafacturing, aproducer of golf cart tires. Skies makes 1,000 tires per daywith the following resouces:

Labor 400 hours oer day @ 12.50 per hr

Raw Material 20,000 punds per day @ $1 per pound

Energy $5,000 per day

Capital $10,000 per day

a. What is the labor productivity per labor-hour for thesetires at Skies Manaufacturing?

b. What is the mulitfactor productivity for these tires atSkies Manaufacturing?

c. What is the percent change in the mulifactor productivity if Skies can reduce the energy bill by $1,000 without cutting production or changing any other inputs?

Reference no: EM13338401

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