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Bob Richards, the production manager of Stella Elements, in Boca Raton, Florida, is preparing his quarterly report, which is to include a productivity analysis for his department. One of the inputs is production data prepared by Alice Collins, his operations analyst. The report, which she gave him this morning, showed the following: 2015 2016 Production (units) 4,500 6,500 Raw material used (barrels of petroleum by-products) 700 910 Labor hours 22,000 25,500 Capital cost applied to the department ($) $350,000 $410,000 Bob knew that his labor cost per hour had increased from an average of $12 per hour to an average of $15 per hour, primarily due to a move by management to become more competitive with a new company that had just opened a plant in the area. He also knew that his average cost per barrel of raw material had increased from $350 to $375. He was concerned about the accounting procedures that increased his capital cost from $350,000 to $410,000, but earlier discussions with his boss suggested that there was nothing that could be done about that allocation. Bob wondered if his productivity had increased at all. He called Alice into the office and conveyed the above information to her and asked her to prepare this part of the report. Prepare the productivity part of the report for Mr. Richards.?Provide calculations for?multifactor?productivity in?Units/Dollar for 2015 Multifactor?productivity for?2015 (round to 4 decimal places): ?= _____ Units/Dollar.
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