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[SOLVED]A productivity index of 110% means that a company’s labor costs would have been 10% higher if it had not made production impr[]ovements

A productivity index of 110% means that a company’s labor costs would have been 10% higher if it had not made production improvements. Now refer to the Income Statement in Chester's Annual Report. The direct labor costs for Chester were $32,611. These labor costs could have been $20,000 higher if investments in training that increased productivity had not been made. What was the productivity index for Chester that led to such savings?

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  •  161.3%
  •  155.2%
  •  38.7%
  •  44.8%



honeyd


29-03-21 | 14:50:05

=(labor cost+additional cost)/labor cost*100
Digby =12%*32707=3924.84
Baldwin=3%*24186=725.58
Saving=3924.84-725.58=3199.26

honeyd


29-03-21 | 14:52:10

sorry use this formula
=(labor cost+additional cost)/labor cost*100

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