Economics is the study of how people try to satisfy unlimited wants and needs with limited resources.
2 answers:
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Answer:
2.46
Explanation:
Given:
Student tuition at ABC University per semester credit hour = $250
Average class size = 30
Labor costs per class = $3,000
materials costs per student per class = $10
overhead costs per class = $15,000
a) Now,
The multifactor productivity ratio =
also,
Input = Labor costs + Total materials costs + Total overhead costs
or
Input = $3,000 + ( $10 × 30 ) + $15,000 = $18,300
And,
Output
= Average class size × credit hour × ( Student tuition + state supplements )
= 30 × 3 × ( $250 + $250)
= $45,000
Therefore,
The multifactor productivity ratio =
= 2.46