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Description of Productivity
Please read the problem below and respond to (a) and (b) illustrating the work of how the answer was derived. David Upton is president of Upton Manufacturing, a producer of Go-Kart tires. Upton makes 1,000 tires per day with the following resources:
Labor: 520 hours at $13 per hourSolvent: 100 gallons at $5 per gallonMachine Rental: 20 days at $50 per day
a. What is the labor productivity per dollar?
b. What is the multifactor productivity?
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