Exam 26: Learning Curves

A company negotiates a price for two aircraft that includes a reduction in labor on the second aircraft consistent with a 70% learning curve.Suppose the first aircraft took 100 hours.If the improvement rate changes to 20%,how will the total time to complete both aircraft change?

In the formula approach to learning curve calculations,you have used the formula T_N = T₁ (N^b).For a problem with a 92 percent learning curve,what is b?

Suppose that there are two products with the same first product time.However,product A has an improvement rate of 10% while product B has an improvement rate of 20%.How much longer will it take to make the 10^th unit of product A compared to product B?

The ________ is the simplest approach to learning curve problems.

Your firm has expertise with a special type of hand-finished furniture.The learning curve is known to be 82%.If the first piece of furniture took 6 hours,how long will it take to make the second? How long will it take to make the fourth?

Learning curves are based on the premise that people and organizations become better at their tasks as the tasks are repeated.

Which of the following statements comparing learning curve rates (L)to improvement rates is TRUE?

The first unit of a product took 1,000 hours to build and the learning curve is 85%.How long will it take to make the first 5 units? (Use Table E.3)

A metal works fabricator is about to release a new model of his firm's copper sculpture and fountain.The operations manager estimates that this product is subject to a 90 percent learning curve on labor only-the material bill is not affected by experience.The firm prices its work based on cost-the sum of materials plus 30 percent and labor plus 50 percent.(This allows the firm to practice a form of "demand management" for its very popular works. )The first item has already been finished;the material bill was $800 and labor totaled 40 hours.The firm pays its metalworking artisans an average of $18 per hour.What should be the asking price of the first unit? The second?

The fact that human activities typically improve when they are done on a repetitive basis is described by a:

A product was priced assuming an 80% learning curve.How much extra labor (in %)will be required on the 4^th product if the learning curve is actually 90%?

The second unit of production took 9 hours.If the learning curve is 90% how long did the first unit take?

The first unit took 10 hours and the fourth unit took 8.1 hours to complete.What is the learning curve?

The Learning-Curve Coefficients table reports that for 70 percent learning,the eighth unit has a unit time value of 0.343.Verify that table entry by use of the doubling method.

What is the basic premise underlying the learning curve?

Which of the following is a limitation of the use of learning curves?

A manager is trying to estimate the appropriate learning curve for a certain job.The manager notes that the first four units had a total time of 30 minutes.Which learning curve would yield approximately this result if the first unit took 9 minutes? (Use Table E.3. )

It took 60 hours to make the first unit of a product.After the second and third units were made,the learning curve was estimated to be 80%.At $10 per hour,estimate the labor bill for the fourth unit.(Use at least three decimals in the exponent if you use the formula approach. )

Learning curves are:

A small manufacturer that offers "hand crafted" furniture has developed a new style of desk that they believe will be very successful in the marketplace.It is expected that the first desk will take about 60 hours of craftsmen's time to complete.They expect a 90% learning curve for this desk. How long will it take to make the 20^th desk? The firm is considering accepting an order for 25 desks.How many hours of labor will this require for all 25?