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Consider the Following Information AWhich Quarter, First or Second, Had the Higher Labor Productivity

Question 88

Essay

Consider the following information.  First Quarter  Second Quarter  Unit Selling Price $15.00$17.00 Total Units Sold 12,00011,500 Labor Hours 10,0009,500 Labor Cost/Hour $9.00$10.00 Material Usage (Ibs.) 5,0007,500 Material Cost/lb. $12.00$10.50 Other Costs $25,000\begin{array}{|l|c|c|}\hline & \text { First Quarter } & \text { Second Quarter } \\\hline \text { Unit Selling Price } & \$ 15.00 & \$ 17.00 \\\hline \text { Total Units Sold } & 12,000 & 11,500 \\\hline\\\hline \text { Labor Hours } & 10,000 & 9,500 \\\hline \text { Labor Cost/Hour } & \$ 9.00 & \$ 10.00 \\\hline\\\hline \text { Material Usage (Ibs.) } & 5,000 & 7,500 \\\hline \text { Material Cost/lb. } & \$ 12.00 & \$ 10.50 \\\hline\\\hline \text { Other Costs } & & \$ 25,000 \\\hline\end{array}

a.Which quarter, first or second, had the higher labor productivity (output quantity per labor dollar input)?
b.Which quarter, first or second, had the higher material productivity (output quantity per material dollar input)?
c.Which quarter, first or second, had the higher total productivity (dollar output per total dollar input)?

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a.Labor productivity, First Quarter: 12,...

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