Dilbert's Incorporated produced 5,000,000 units of accounting software in 2004.At the start of 2005 the pointy-haired boss reduced total annual hours of employment from 10,000 to 8,000 and production was 4,800,000.These numbers indicate that productivity

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Productivity is calculated as output per hour. In 2004, productivity was 500 units/hour (5,000,000 units / 10,000 hours). In 2005, productivity was 600 units/hour (4,800,000 units / 8,000 hours). The increase in productivity is (600 - 500) / 500 = 0.20 or 20%.

Dilbert's Incorporated Produced 5,000,000 Units of Accounting Software in 2004