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Productivity -Numerically Defined
Total factor productivity (TFP) = Pt = Ot/(L+C+R+Q)
Partial factor productivity (PFP) = Ot/L or C or Ot/a combination of inputs
Pt = Total factor productivity
Ot = Total output (sales value $)
L = Labour input factor ($)
C = Capital input factor ($)
R = Raw materials/purchased parts ($)
Q = Other miscellaneous services ($)
A local nursery greens uses 1560 bags of plant food annually. Green works 52 weeks per year. It costs $10 to place an order for plant food. The annual holding cost rate is $5 per b
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