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Separate changes of partial financial productivity ratios

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Reference no: EM133168421

Question - The following information is for the Wetherby Company.

 

2016

2015

Units manufactured

60,000

54,000

Units of materials used

144,000

124,000

Number of labor hours used

200,000

180,000

Cost of materials per unit

$40

$38

Direct labor wage rate per hour

$50

$44

Required -

1. Compute the partial operational productivity measures for 2012 and 2013.

2. Compute the partial financial productivity ratios for 2012 and 2013.

3. Separate the changes of the partial financial productivity ratios from 2012 to 2013 into productivity change, input price change, and output change.

Reference no: EM133168421

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