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Paul [167]
4 years ago
15

Lillian Fok is president of Lakefront Manufacturing, a producer of bicycle tires. Fok makes 1,000 tires per day with the followi

ng resources: Labor: 400 hours per day @ $12.50 per hour Raw material: 20,000 pounds per day @ $1 per pound Energy: $5,000 per day Capital costs: $10,000 per day a) What is the labor productivity per labor-hour for these tires at Lakefront Manufacturing? b) What is the multifactor productivity for these tires at Lakefront Manufacturing? c) What is the percent change in multifactor productivity if Fok can reduce the energy bill by $1,000 per day without cutting production or changing any other inputs?
Business
1 answer:
RSB [31]4 years ago
8 0

Answer:

A) 2.5 bicycle tires per labor hour B) 0.025 dollars per bicycle tires C) It would mean an increase of 11.1% in the multifactor productivity.

Explanation: To calculate the productivity of labor per hour simply divide the total number of tires produced in 1 day with the total labor hour used (1000/400=2,5). To calculate the multifactor productivity, you have to sum the total cost of all resources labor, capital, raw material and energy, and divide the total output per the total cost of inputs (1000/40000=0.025). Finally, to calculate the impact of improvements in energy use, from 5,000$ per day to 1,000$, adjust the total cost of inputs by 4,000 (40,000-4,000=3,6000), divide production with the new cost (1,000/36,000=0.02777) and calculate the percentual change (0.0277-0.025/0.025=0.111)

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kolbaska11 [484]

Answer:

Foxystan

The spending multiplier in Foxystan is equal to:

10 times.

Explanation:

a) Data and Calculations:

Decrease in consumer spending = $500

Decrease in GDP = $5,000

Spending multiplier in Foxystan is equal $5,000 : $500 = 10 times

The spending multiplier describes the ratio of change in consumer spending relative to the change in the GDP.  In Foxystan, the ratio of the change is 10 times.  This means that while consumer spending decreased by $500, it caused a 10 times decrease in the GDP.

3 0
3 years ago
What kind of economy offers uniformity in wages regardless of individual productivity?
My name is Ann [436]

Command and socialist economies offer uniformity in wages regardless of individual productivity. In these economies, they are set up to pay each worker the same regardless of the amount of work they put in at work. In a command or socialist economy, the state owns and controls all factors of goods, services and production.

6 0
3 years ago
What is the maximum amount a 45-year-old taxpayer and 45-year-old spouse can put into a Traditional or Roth IRA for 2016 (assumi
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$5,500 USD

Explanation:

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4 years ago
1) If you make superior returns by buying stocks after a 10% fall in price and selling stocks after a 10% rise, this is consiste
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Answer:

False

Explanation:

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Answer:

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Which capability of digital dashboards enables users to have reports that highlight deviations larger than certain thresholds?

Drill down

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Status access

Trend analysis

Exception reporting

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