Solution:

A-
The use of just one resource input to measure productivity is known as
single-factor productivity. However, a broader view of productivity is
multifactor productivity, which includes all inputs (e.g., capital, labor,
material, energy)
Single-factor productivity Indicates the ratio of goods and services
produced (outputs) to one resource (input).
Multifactor productivity Indicates the ratio of goods and services
produced (outputs) to many or all resources (inputs).

B-
Rugs=65
Labor hours=520
So, Productivity of labor= 65/520
= 0.125 rugs per hour
C-
Rugs=65
Labor hours=520
Per hour rate=12
Gallons=100
Per gallon=5
Days=20
Per day=50
Multifactor Productivity=65/ (520*12+100*5+20*50)
=65/ 7740
=0.008397 rugs per dollar.
D-
If,
Per gallon=3
Then,
Multifactor productivity= 65/ (520*12+100*3+20*50)
= 65/ 7540
= 0.008620 rugs per dollar
E-
Increase in productivity= 0.008620-0.008397
= 0.000223 rugs per dollar