CHAPTER: 1 Section: Future, Forward

1. Lakes and Charles Seafood makes 500 wooden packing boxes for fresh sea food per day,
working in two 10 hour shifts. ue to higher demand, plant managers ha!e decided to
operate three " hour shift instead. #he plant is able to produce $50 boxes per day.
Calculate the Company%s producti!ity before the change in work rules and after the
change. &hat is the percent increase in producti!ity'
(. ) *S manufacturing company operating a subsidiary in an LC +less de!eloped country,
shows the following results-
.tem *S LC
Sales +units, 100,000 (0,000
Labor +hours, (0,000 15,000
/aw materials 0(0,000 1C (0,000
Capital e2uipment +hours, $0,000 5,000
a, Calculate partial labor and capital producti!ity figures for the parent and
subsidiary.
b, Compute the multifactor producti!ity figures for labor and capital together. )re
the results better'
c, Calculate the raw material producti!ity +units30 where 01 4 1C 10,. 5xplain why
these figures might be greater in the subsidiary'
6. )n electronics company makes communication de!ices for military contracts. #he
company 7ust completed two contracts. #he na!y contract was for (,600 de!ices and took
(5 workers two weeks +80 hours per week, to complete. #he army contract was for 5,500
de!ices that were produced by 65 workers in three weeks. 9n which contract were the
workers more producti!e'
8. ) fast:food restaurant ser!es hamburgers, cheeseburgers, and chicken sandwiches. #he
restaurant counts one cheeseburger as e2ui!alent to 1.(5 hamburgers and chicken
sandwiches as 0." hamburger. Current employment is fi!e full:time employees who work
a 80:hour week. .f the restaurant sold ;00 hamburgers, <00 cheeseburgers, and 500
chicken sandwiches in one week, what is the producti!ity' &hat would its producti!ity
ha!e been if it had sold the same number of sandwiches +(,100, but the mix was ;00 of
each type'
5. ) manager checked production records and found that a worker produced 1$0 units while working 80
hours. .n the pre!ious week, the same worker produced 16" units while working 6$ hours. id the worker%s
producti!ity increase, decrease, or remain the same' 5xplain.
6. A company is making 6,000 cycles in a month by engaging 40 workers for 26 days in a
month in a shift of 8 hours per day. The company increased the output by 000 cycles in
ne!t month by employing 60 workers in place of 40 workers. "hat is the new labor
producti#ity$ %alculate the change in the labor producti#ity.
;. ) Steel =anufacturing Company has pro!ided the following data. Compare the labor,
raw materials nd suppliers, and total producti!ity of (010 and (011.
(010 (011
9utput- Sales /e!enue +0, (8,00
0
6$,000
.nput-
Labor 11,00 1$,000
/aw materials and suppliers
Capital e2uipment depreciation
9thers
0
",500
;,500
(,000
1(,500
1(,500
5,000