ENGR.ECONOMIC ANALYSIS
14th Edition
ISBN: 9780190931919
Author: NEWNAN
Publisher: Oxford University Press
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Question
On Aug 28, 2023 the Factory Efficiency Index (FEI) closed at 10,572.02; the day before it closed at 10,583.96. Which of the following statements about that performance is/are true?
FEI rose 11.94 basis points
FEl fell 0.11 basis points
FEl fell 11.94 basis points
FEl fell 11 basis point
FEl rose 11 basis points
Expert Solution
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Step 1: Define Factory Efficiency index(FEI)
The factory efficiency index is defined as an index that is used to measure the efficiency level of the factory. A factory is said to be efficient when the cost of production is less and the profits are more. The higher the FEI more efficient the factory is said to be.
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