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Gomez Home Appliances Manufactures 10,000 Refrigerators Every Month

Question 7

Multiple Choice

Gomez Home Appliances manufactures 10,000 refrigerators every month. The company spends $2,000 on labor, $5,000 on rent, $3,000 on machinery, and $1,500 on electricity every month. It can be concluded that the multifactor productivity of the company is _____.


A) 0.91 dollars per refrigerator
B) 0.87 refrigerators per dollar
C) 0.62 dollars per refrigerator
D) 0.34 refrigerators per dollar

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