At the End of 2014, Diatomic Company Implemented a New

question 23

Multiple Choice

At the end of 2014, Diatomic Company implemented a new labor process and redesigned its product with the expectation that input usage efficiency would increase. Now, at the end of 2015, the president of the company wants an assessment of the changes on the company's productivity. The data needed for the assessment are as follows: How much profit was generated in 2015?

• A) $540,000
• B) $319,950
• C) $220,050
• D) $270,000

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Definitions:

Company Towns

Communities where nearly all stores and housing are owned by the one company that is also the main employer.

AFL

American Federation of Labor, a national federation of labor unions in the United States.

Samuel Gompers

An American labor union leader and a key figure in the founding of the American Federation of Labor (AFL).

Mediator

A neutral third party who assists in resolving disputes through communication and negotiation.