Calculate the productivity index for digby


A productivity index of 110% means that a company's labor costs would have been 10% higher if it had not made production improvements. Now refer to the Income Statement in Digby's Annual Report. The direct labor costs for Digby were $32,611. These labor costs could have been $20,000 higher if investments in training that increased productivity had not been made. What was the productivity index for Digby that led to such savings?

Request for Solution File

Ask an Expert for Answer!!
Accounting Basics: Calculate the productivity index for digby
Reference No:- TGS0556851

Expected delivery within 24 Hours