Problem 1<\/p>\n
Chuck Sox makes wooden boxes in which to ship<\/p>\n
motorcycles. Chuck and his three employees invest a total of 40<\/p>\n
hours per day making the 120 boxes.<\/p>\n
a) What is their productivity?<\/p>\n
b) Chuck and his employees have discussed redesigning the process<\/p>\n
to improve efficiency. If they can increase the rate to 125<\/p>\n
per day, what will be their new productivity?<\/p>\n
c) What will be their unit increase in productivity per hour?<\/p>\n
d) What will be their percentage change in productivity?<\/p>\n
Problem 2<\/p>\n
Lillian Fok is president of Lakefront Manufacturing,<\/p>\n
a producer of bicycle tires. Fok makes 1,000 tires per day with the<\/p>\n
following resources:<\/p>\n
Labor: 400 hours per day @ $12.50 per hour<\/p>\n
Raw material: 20,000 pounds per day @ $1 per pound<\/p>\n
Energy: $5,000 per day<\/p>\n
Capital costs: $10,000 per day<\/p>\n
a) What is the labor productivity per labor-hour for these tires at<\/p>\n
Lakefront Manufacturing?<\/p>\n
b) What is the multifactor productivity for these tires at<\/p>\n
Lakefront Manufacturing?<\/p>\n
c) What is the percent change in multifactor productivity if Fok<\/p>\n
can reduce the energy bill by $1,000 per day without cutting<\/p>\n
production or changing any other inputs?<\/p>\n
Problem 3<\/p>\n
Charles Lackey operates a bakery in Idaho Falls, Idaho.<\/p>\n
Because of its excellent product and excellent location, demand has<\/p>\n
increased by 25% in the last year. On far too many occasions, customers<\/p>\n
have not been able to purchase the bread of their choice.<\/p>\n
Because of the size of the store, no new ovens can be added. At a<\/p>\n
staff meeting, one employee suggested ways to load the ovens differently<\/p>\n
so that more loaves of bread can be baked at one time. This<\/p>\n
new process will require that the ovens be loaded by hand, requiring<\/p>\n
additional manpower. This is the only thing to be changed. If the<\/p>\n
bakery makes 1,500 loaves per month with a labor productivity of<\/p>\n
2.344 loaves per labor-hour, how many workers will Lackey need to<\/p>\n
add? (Hint: Each worker works 160 hours per month.)<\/p>\n","protected":false},"excerpt":{"rendered":"
Problem 1 Chuck Sox makes wooden boxes in which to ship motorcycles. Chuck and his three employees invest a total of 40 hours per day making the 120 boxes. a) What is their productivity? b) Chuck and his employees have Read More …<\/a><\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[],"tags":[],"class_list":["post-25094","post","type-post","status-publish","format-standard","hentry"],"_links":{"self":[{"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/posts\/25094","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/comments?post=25094"}],"version-history":[{"count":0,"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/posts\/25094\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/media?parent=25094"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/categories?post=25094"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/tags?post=25094"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}