Fabro, Inc. produced 1,500 units of Product RX-6 last week. The inputs to the production process for Product RX-6 were as follows.
　　450 pounds of Material A at a cost of $1.50 per pound.
　　300 pounds of Material Z at a cost of $2.75 per pound.
　　300 labor hours at a cost of $15.00 per hour.
　　What is the best productivity measure for the first-line supervisor in Fabro, Inc.'s production plant?
　　a.2.00 units per pound.
　　b.5.00 units per labor hour.
　　c.0.33 units per dollar input.
　　d.$15.00 per labor hour.
　　Answer:B
　　Choice "B" is correct. The best productivity measure for the production supervisor is 5.00 units per labor hour. This measures the efficiency and productivity of plant labor, which is within the supervisor's control.
　　Choice "c" is incorrect. Most of the cost factors are outside the control of the production supervisor.
　　Choice "a" is incorrect. The supervisor can affect the efficiency of material usage but not the units per pound.
　　Choice "d" is incorrect. The supervisor has no control over the hourly cost of labor.