Aztec Furnishings makes hand-crafted furniture for sale in its retail stores. Th

Question

Aztec Furnishings makes hand-crafted furniture for sale in its retail stores. The furniture maker has recently installed a new assembly process, including a new sander and polisher. With this new system, production has increased to ninety pieces of furniture per day from the previous sixty pieces of furniture per day. The number of defective items produced has dropped from 10 pieces per day to 1 per day. The production facility operates strictly eight hours per day. Evaluate the change in productivity for Aztec using the new assembly process.

Explanation / Answer

To do this you would want to use the % change formula which is (production2-production1)/production1 x 100 where production2 is 90/8 and production 1 is 60/8 (this is to find the # of units made per hour) Production 2 = 11.25 units per hour production 1 =7.5 units per hour THus your productivity has increased by (11.25-7.5)/7.5x100 or 50%

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