Labor Productivity Is Calculated as

question 318

Multiple Choice

Labor productivity is calculated as

• A)(real GDP ÷ aggregate hours).
• B)(real GDP ÷ aggregate hours × number of workers).
• C)(real GDP ÷ number of workers × ratio of capital per worker).
• D)(real GDP ÷ technology level).
• E)(real GDP ÷ aggregate hours × number of workers)× 100.

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Definitions:

Segmented Income Statement

An income statement that shows financial results for different segments or divisions of a company.

Contribution Format

A type of income statement that categorizes costs as variable or fixed and computes a contribution margin.

Common Fixed Expenses

Expenses that do not vary with the level of production or sales, shared across different segments of a business, such as rent for the corporate office.

Sales Mix

The relative proportions in which a company’s products are sold. Sales mix is computed by expressing the sales of each product as a percentage of total sales.