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At the End of 2014, Diatomic Company Implemented a New

Question 114

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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: 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:   By how much did profit change as a result of profitability changes in materials? A)  $16,200 increase B)  $16,200 decrease C)  $36,000 decrease D)  $36,000 increase By how much did profit change as a result of profitability changes in materials?


A) $16,200 increase
B) $16,200 decrease
C) $36,000 decrease
D) $36,000 increase

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