Productivity Calculations



Productivity Analysis Assignment 



Total = 55 points: Productivity Calculation Tab (30 points) + WhatIf Analysis Tab (25 points) 









Assignment Learning Objectives 


Use data in columns C & D for the 

Data: 
Calculation Exercises 1a – 6c 










1. Calculate single factor and total factor productivity measures 

Metric 
Parent (Domestic) 
Subsidiary (Less Developed Country) 

Hint: Use Excel formulas to calculate your answer. 







2. Interpret productivity measures and draw appropriate conclusions 

Sales (units) 
1,850,000 
750,000 

For Example: To calculate the Parent’s total labor dollars, you multiply labor hours * labor cost 







3. Use formulas in Excel 

Units Produced 
1,425,000 
479,586 

In Excel, you enter: =C8*C9 







4. Use Excel to perform “WhatIf” Analysis 

Labor (hours) 
40,000 
20,000 

The “=” sign tells Excel that you are entering a formula and then you multiply the two cells that contain your data 

Labor Cost ($) per hour 
$14.56 
$5.51 

Materials Cost ($) 
$400,259 
$201,378 

Equipment (Hours) 
120,598 
30,578 

Equipment Cost ($) 
$1,359,600 
$225,000 

Fixed Costs ($) 
$2,000,000 
$725,000 

Selling Price per Unit 
$19.99 
$19.99 



Total points this worksheet = 30 points 

Calculation Exercises: 

Labor Productivity (units/hour) 

1a. Compute the singlefactor productivity for labor for the Parent operations in units per hour (enter your formula in cell B20). 
Cell B20 must be a formula 

units/labor hour 


1b. Compute the singlefactor productivity for labor for the Subsidiary operations in units per hour (enter your formula in ce 
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