For a duration of 6 weeks 19 workers in a factory were able to produce a total of 12,000 packages of tea (each package containing net 800 grams of tea). Workers have a weekly wage of 750 liras. Tea is purchased from a supplier at a cost of 4.5 liras per kg. Loss of material during the process in the factory can be ignored. a) b) Compute the material productivity and labor productivity for this example. What is the unit cost of packaged tea when overhead costs are not taken into account.

Practical Management Science
6th Edition
ISBN:9781337406659
Author:WINSTON, Wayne L.
Publisher:WINSTON, Wayne L.
Chapter4: Linear Programming Models
Section4.8: Data Envelopment Analysis (dea)
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Can you help with options a and b?
For a duration of 6 weeks 19 workers in a factory were able to produce a total of 12,000
packages of tea (each package containing net 800 grams of tea). Workers have a weekly
wage of 750 liras. Tea is purchased from a supplier at a cost of 4.5 liras per kg. Loss of
material during the process in the factory can be ignored.
а)
b)
Compute the material productivity and labor productivity for this example.
What is the unit cost of packaged tea when overhead costs are not taken into
account.
Transcribed Image Text:For a duration of 6 weeks 19 workers in a factory were able to produce a total of 12,000 packages of tea (each package containing net 800 grams of tea). Workers have a weekly wage of 750 liras. Tea is purchased from a supplier at a cost of 4.5 liras per kg. Loss of material during the process in the factory can be ignored. а) b) Compute the material productivity and labor productivity for this example. What is the unit cost of packaged tea when overhead costs are not taken into account.
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