Question:

It takes the Kwinzee shipyard six months with 500 workers to build a small tanker. Material costs are $32 million and overhead costs are $2 million. Workers cost $40 per hour including benefits and work 40 hours per week. The ship sells for $75 million.

1. What is the multifactor productivity ratio?
2. There is a new contract for next year, requiring the shipyard to build a ship within 4 months. If 50 new workers are added to the workforce and shifts extend from 8 hours to 10, does the labor productivity increase, decrease, or remain the same? If it changes, by what percentage it will change?

Price: $2.99

Solution: The downloadable solution consists of 1 pages
Deliverable: Word Document