QUESTION 3 ABC Manufacturing produces clothing labels that is supplied to Zara for use on the sewing assembly line. ABC Manufacturing produces 21,000 large labels and 16,000 small labels per month. Standard price is R18.00 per large label and R15.00 per small label. There are 22 working days in a month and the company works a tripple shift at 7.50 hours per shift. There are 24 direct workers per shift and labour cost is R25.00 per hour. The material cost is R8.00 per large label and R7.00 per small label. The annual overhead cost is R660,000 per annum. Determine: 3.1 The multi-factor productivity for the clothing label process (5) 3.2 Comment on the multi-factor productivity (1) [6]

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