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Mariah Enterprises makes a variety of consumer electronic products. Its camera manufacturing plant is considering choosing between two different processes, named Alpha and Beta, which can be used to make a component part. To make the correct decision, the managers would like to compare the labor and multifactor productivity of process Alpha with that of process Beta. The value of process output for Alpha and Beta is $170 per unit of product A and $190 per unit of product B, and the corresponding overhead costs for Alpha and Beta are $8,000 and $5,000, respectively. Product Output (units) Labor ($) Materials (S) Process Alpha ? B 80 40 $1,200 $1,400 $3,500 $1,400 Process Beta ? B 50 30 $1,000 $2,000 $1,500 $3,000 a. Which process, Alpha or Beta, is more productive? has % higher labor productivity. Process has % higher multifactor productivity.
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