HW1-Tu Nguyen PDF

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Tu Nguyen- 01712120 HW1

1.1) Chuck Sox makes wooden boxes in which to ship motorcycles. Chuck and his three employees invest a total of 40 hours per day making the 120 boxes. a) What is their productivity? Productivity1=

Output 120 =3(boxes per hour ) = 40 Input

b) Chuck and his employees have discussed redesigning the process to improve efficiency. If they can increase the rate to 125 per day, what will be their new productivity? Productivity2=

Output 125 =3.125(boxes per hour ) = 40 Input

c) What will be their unit increase in productivity per hour? Their unit increase=Productivity2− Productivity1=3.125− 3=0.125 (boxes per hour) d) What will be their percentage change in productivity? Percentage=

increasing unit 0.125 =4.2 % = Productivity1 3

1.3) Number of labor(X) Total output = 57,600 per year Labor hours of each labor = 160 hour/month Productivity = 0.15 Productivity= ↔ 0.15=

1.7)

TotalOutput Number of labors∗Labor hours∗12 months

57,600 ↔ X=200(labors) X∗160∗12

Productivity =

Total Output Total Input

Last year Input = Labor cost + Resin cost + Capital invested + Energy = (300*10) + (50*5) + (10000*0.01) + (0.5*3000) = 3000 + 250+ 1000 + 1500 = 4,850 Productivity = 

Total Output 1000 = =0.206 Total Input 4850

Now:

This year Input = (275*10) + (45*5) + (11000*0.01) + (0.5*2850) = 2750 + 225 + 110 + 1425 = 4510 Productivity =

Total Output 1000 = =0.222 Total Input 4510

Change in productivity =

0.222−0.206 ∗100=¿ 7.8% 0.206

1.8) 65 Output = =0.0096(Rugs/dollar ) Input 520∗13

a)

Productivity=

b)

Multifactor productivity=

→ Multifactor Productivity=

Total output Labor + Material+ Energy + Capital + Miscellaneous

65 65 =0.00787(rugs per dollar) = ( 520∗13 ) +( 100∗5 ) +(20∗50) 8260

1.9) a. Labor Productivity: Totaloutput 1000 = =¿ 2.5 (Tires per hour) Productivity= Totalinput 400 b. Multifactor Productivity:

Productivity=

Totaloutput 1000 =0.025(Tires per hour ) = Totalinput ( 400∗12.5 ) +( 20000∗1 )+ 5000+10000

c. Reduce energy in $ 1000: After reducing energy bills, a new productivity is Productivity=

Percentage=

1000 Totaloutput = =0.0256 ( Tires per hour ) Totalinput ( 400∗12.5 ) +( 20000∗1 )+(5000−1000)+ 10000 0.0256 −0.025 ∗100=2.4 % 0.025

1.16) a)

Productivity= ↔ 0.1=

Total produced vans Totallabor hours

6600 Total labor hours

↔ Labor hours=66000(hours) Average labor hours=

Totallabor hours 66000 = =220(Hours) Totallabors 300

b) If productivity increased to 0.11 vans per labor-hour Productivity= ↔ 0.11=

Total produced vans Totallabor hours

6600 Totallabor hours

↔ Labor hours=60000(hours) Average labor hours=

Totallabor hours 60000 =200(Hours) = 300 Totallabors...