The multifactor productivity is the measure of the efficiency of the business in terms of the usage of the different factors of production. The factors of production include labor, raw materials, and overhead costs. What is the definition of multifactor productivity?
1) The ratio of total output to the total cost of all inputs
2) The ratio of total output to the total cost of labor
3) The ratio of total output to the total cost of raw materials
4) The ratio of total output to the total cost of overhead costs