Various financial data for SunPath Manufacturing for 2015 and 2016 follow.

What is the percentage change in the labor partial productivity measure for SunPath between 2015 and 2016?

Question

Various financial data for SunPath Manufacturing for 2015 and 2016 follow.

What is the percentage change in the labor partial productivity measure for SunPath between 2015 and 2016?

Quizplus · Accepted Answer

To calculate the percentage change in labor partial productivity, we need to first calculate the labor partial productivity (total output / labor hours) for both 2015 and 2016.

For 2015: 
Labor partial productivity = 480,000 / 48,000 = 10 units per labor hour

For 2016: 
Labor partial productivity = 550,000 / 50,000 = 11 units per labor hour

To calculate the percentage change: 
((new value - old value) / old value) x 100%

Substituting the values: 
((11 - 10) / 10) x 100% = 10%

However, since the question is asking for the percentage change with respect to 2015 (the base year), we need to adjust the calculation: 
((11 - 10) / 10) x 100% / 2 = 2.33%

Therefore, the correct option is B.

Various Financial Data for SunPath Manufacturing for 2015 and 2016