Practical Management Science
Practical Management Science
6th Edition
ISBN: 9781337406659
Author: WINSTON, Wayne L.
Publisher: Cengage,
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A dentist charges patients $100 for teeth cleaning and pays his dental hygienists $15 per hour. (Assume the only workers are the dental hygienists and assume they always work an 8 hour day.) Overhead is charged at a daily rate of $200 plus ½ times the direct labor costs. Material costs are $20 per patient per visit.

Given the weekly output below, what is the average multifactor productivity for this process for the entire week in terms of REVENUE per cost. (In other words, use money in the numerator and denominator.)?
# of # of Dental
Day Patients Hygienists
Monday 8 1
Tuesday 14 2
Wednesday 15 2
Thursday 25 3
Friday 24 3

A) State the formula

B) Determine the unit of measure for the numerator

C) Determine the unit of measure for the denominator

D) Calculate Productivity for each Day

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