Homework 1 Solutions OM

# Homework 1 Solutions OM - Homework 1 Solutions BUSQOM 1070...

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Unformatted text preview: Homework 1 Solutions BUSQOM 1070, Spring 2011 120 boxes (a) = 3.0 boxes/hour 40 hours 1.1 125 boxes (b) = 3.125 boxes/hour 40 hours (c) Change in productivity = 0.125 boxes/hour 0.125 boxes percentage change = = 4.166% 3.0 Output Productivity = Input 1.8 65 65 (a) Labor productivity = = (520 × 13) \$6,760 = .0096 rugs per labor \$ 65 Multifactor (b) productivity (520 × \$13) + (100 × \$5) + (20 × \$50) 65 = = .00787 rugs per \$ \$8,260 1.9 (a) Labor productivity = 1,000 tires/400 hours = 2.5 tires/hour. (b) Multifactor productivity is 1,000 tires/(400 × \$12.50 + 20,000 × \$1 + \$5,000 + \$10,000) = 1,000 tires/\$40,000 = 0.025 tires/dollar. (c) Multifactor productivity changes from 1,000/40,000 to 1,000/39,000, or from 0.025 to 0.02564; the ratio is 1.0256, so the change is a 2.56 percent increase. 6.6 (c) Increase in productivity = = 33.0% 20 1.13 1,500 × 1.25 = 1,875 (new demand) Outputs = Productivity Inputs 1875 = 2.344 Labor hours 1875 New process = 800 labor hours 2.344 800 = 5 workers 160 1,500 Current process = = 2.344 labor hours 1,500 = labor hours 640 2.3442....
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## This note was uploaded on 05/13/2011 for the course BUSORG 1070 taught by Professor Scala during the Spring '11 term at Pittsburgh.

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Homework 1 Solutions OM - Homework 1 Solutions BUSQOM 1070...

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