Alutech a light engineering company manufactures 1000 units, Mathematics

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Alutech a light engineering company manufactures 1000 units

AluTech, a light engineering company manufactures 1000 units per day with the following resources shown in the table:

	Costs
Labor	400 hours @ €12.50 per hour
Raw Materials	20,000kg @ €1 per kg
Capital (€)	€10,000 per day
Energy	€5,000 per day

i) What is the labor productivity at AluTech?

ii) What is the multifactor productivity at AluTech?

iii) What is the percentage change in multifactor productivity if AluTech can reduce the energy bill by 50% per day, without cutting production or changing any other inputs?

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Mathematics: Alutech a light engineering company manufactures 1000 units

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Mathematics: Alutech a light engineering company manufactures 1000 units

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