Ashita and Lakshita are employees working in Dazzling enterprises dealing in costume jewellery. The firm secured an urgent order for 1,000 bracelets that were to be delivered within 4 days. They were assigned the responsibility of producing 500 bracelets each at a cost of Rs 100 per bracelet. Ashita was able to produce the required number within the stipulated time at the cost of Rs 55,000 whereas, Lakshita was able to produce only 450 units at a cost of Rs 90 per unit. State whether Ashita and Lakshita are efficient and effective. Give reasons to justify your answer.
In the above case, Ashita produces the required number of bracelets within the stipulated time at total cost of Rs. 55,000. Here Ashita works effectively as she completes the task in a given period of time. But she is not efficient as she spends Rs 5,000 more whereas she should spend Rs. 50,000 on production. In other words she spent Rs. 110 on production of one bracelet instead of Rs. 100. So, Ashita is effective but not efficient.
And Lakshita produces 450 bracelets at the cost of Rs. 90 per bracelets. Here Lakshita is efficient because she saves Rs. 10 on each unit of bracelets. She reduces the cost of production which leads to making more profit. But she is not effective as she is not able to produce the required number of bracelets in a given period of time which leads to delay in delivery of the bracelet. So, Lakshita is efficient but not effective.
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Welcome to the NCERT Solutions for Class 12 Business Studies - Chapter . This page offers a step-by-step solution to the specific question from Excercise 2 , Question 6: Ashita and Lakshita are employees working in Dazzling enterprises dealing in costume jewellery. The ....
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