A firm uses five plants to produce its products. Each final product has a value of $100. The following table provides last week's output, labor hours used (at $15 per hour), and materials cost per unit.

Which plant was most productive last week?
A) Plant 1
B) Plant 2
C) Plant 3
D) Plant 4
E) Plant 5

Question

A firm uses five plants to produce its products. Each final product has a value of $100. The following table provides last week's output, labor hours used (at $15 per hour) , and materials cost per unit.

Which plant was most productive last week?

Which plant was most productive last week?
A) Plant 1 
B) Plant 2 
C) Plant 3 
D) Plant 4 
E) Plant 5

Quizplus · Accepted Answer

Plant 1 = 2000/(400x15) + (20x2000) = .043
Plant 2 = 5000/(900x15) + (18x2000) = .048
Plant 3 = 9000/(2000x15) + (20x2000) = .042
Plant 4 = 1000/(150x15) + (30x2000) = .031
Plant 5 = 2000/(440x15) + (18x2000) = .047

A Firm Uses Five Plants to Produce Its Products