Determine the multifactor productivity measure


Assignment:

The manager of a crew that installs carpeting has tracked the crew's output over the past several weeks, obtaining these figures:

Weeks   Crew size   Yards Installed
    1          4            96
    2          3            72
    3          4            92
    4          2            50
    5          3            69
    6          2            52

Compute the labor productivity for each of the weeks. On the basis of your calculations, what can you conclude about crew size and productivity?

2. Compute the multifactor productivity measure for each of the weeks shown for production of chocolate bars. What do the productivity figures suggest? Assume 40-hour weeks and an hourly wage of $12. Overhead is 1.5 times weekly labor cost. Material cost is $6 per pound.

Weeks      Output(units)   Workers   Material(lbs)
 1             30,000               6          450  
 2             33,600               7          470
 3             32,200               7          460
 4             35,400               8          480

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Cost Accounting: Determine the multifactor productivity measure
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