Answer:
A. Compute labor productivity under each system. Use carts per worker per hour as the measure of labor productivity.
- old system = 70 carts / 6 workers = 11.67 carts per worker
- new system = 76 carts / 5 workers = 15.2 carts per worker
B. Compute the multifactor productivity under each system. Use carts per dollar cost (labor plus equipment) as the measure.
- old system = 70 carts / ($108 + $30) = 0.51 carts per dollar
- new system = 76 carts / ($90 + $41) = 0.58 carts per dollar
C. Comment on the changes in productivity according to the two measures.
- The new system is more productive and efficient since it uses less workers to produce a higher output. The additional costs of implementing the new system are lower than the cost of employing more workers.
Explanation:
Multi factor productivity = total output / (cost of wages + material cost + overhead cost)
Answer:
D) $500 loss
Explanation:
The computation of the realized value on the investment is shown below:
= Number of shares × premium
= 100 shares × $5
= $500 loss
Since the call is for 125 shares for $125 and the selling price per share is $123 due to which the contract is not implemented. So the premium amount would be recorded as a loss of $500
Answer:
= $120,500.00
Explanation:
<em>Flexible budget </em><em>is that which is that which recognizes the cost behavior and is used for control purpose. It is prepared based on the actual level of activity achieved.</em>
Kindly note that the $59,000 depreciation is a fixed cost which do not vary with the hours of production.
The flexible budget for the department will be
<em>Direct Labour budget</em> = ( 51000/3400) × 4,100
= $61,500.00
<em>Equipment depreciation</em>= $59,000
Total flexible budget = $61,500.00 + $59,000
= $120,500.00
Answer:
C) Tangibles
Explanation:
The five variables of service quality are:
-
tangibles
- reliability
- responsiveness
- assurance
- empathy
The tangibles variable basically refers to the physical environment, the facilities, equipment, staff and other communication materials displayed by the store or restaurant.
