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Alyssa's Custom Cakes currently sells 5 birthday, 2 wedding, and 3 specialty cakes each month for $50, $150, and $100 each, respectively.. The cost of labor is $50 per hour including benefits. It takes 90 minutes to produce a birthday cake, 240 minutes to produce a wedding cake, and 60 minutes to produce a specialty cake. Alyssa's current multi factor productivity ratio is 1.25.
A. Use the multi factor productivity ratio provided to calculate the average cost of the cakes produced.B. Calculate Alyssa's labor productivity ratio in dollars per hour for each type of cakeC. Based solely on labor productivity ratio, which cake sould Alyssa try to sell the mostD. Based on your answer in part A is there a type of cake Alyssa should stop selling?
Please show all work so I can follow.
I am taking finance class. Our books is John C. Hull 2nd edition Risk Management and Financial Institutions. Our HW are from this book. I have four questions I need help with.
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