CD players are produced on an automated assembly line process. 1 answer below »

CD players are produced on an automated assembly line process. The standard costs of CD players are $150/unit (labor – $30 per unit; materials – $70 per unit; and overhead – $50 per units. The sales price is $300 per unit.
To achieve a 10 percent multi-factor productivity improvement by reducing materials costs only, by what % must these costs be reduced?
Week 1 Units produced = 1,124 Labor($) = 12,735 Material($) = 21,041 Overhead($) = 8,992
1) My question is, is the multi-factor correct above and am I on the right path?
2) If yes, how would I figure out the 10% cost savings by reducing materials costs? Would I take 21,041 * 10% = $2,104.10 and subtract that from $21,041 to get 18,936.90?
Week 1
Multi-factor = 1,124 * $300/12,735+21,041+8,992 = 7.88