Question 1

When comparing a 70% learning curve versus a 90% learning curve, which one results in a more rapid reduction in labour requirements? Why?

Accepted Answer

Learning curves are defined in terms of

Question 2

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% learning rate on labour only-the material bill is not affected by experience. The firm prices its work based on cost-the sum of materials plus 30% and labour plus 50%. (This allows the firm to practice a little "demand management" for its very popular works.) The first item has already been finished; the material bill was $800 and labour totalled 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?

Accepted Answer

Based on the pricing formula, the first

Question 3

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 (in the text) cumulative coefficient.)

Accepted Answer

A)  0.70 
B)  0.75 
C)  0.80 
D)  0.85 
E)  0.90 
A)  0.70 
B)  0.75 
C)  0.80 
D)  0.85 
E)  0.90

Question 4

The seventh unit of production took 63.423 minutes while the ninth unit of production took 59.8 minutes. What is the improvement rate?

Accepted Answer

T(1) = 63.423/(7^b) = 59.8/(9^b) b = -.234 -

Question 5

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

Accepted Answer

Use the successive doubling (a

Question 6

Your firm has a contract to make 20 specialty lenses for night vision equipment. The first one took 40 hours. Learning is expected at the 85% rate. How long will it take to finish all 20 units?

Accepted Answer

The best solution method uses

Question 7

Learning curves have a variety of purposes, which can be placed into which of these broad categories?

Accepted Answer

A)  services, industry, and military 
B)  internal, external, and strategic 
C)  wholesale, distribution, and retail 
D)  arithmetic, logarithmic, and learning coefficients 
E)  positive learning, neutral learning, and negative learning 
A)  services, industry, and military 
B)  internal, external, and strategic 
C)  wholesale, distribution, and retail 
D)  arithmetic, logarithmic, and learning coefficients 
E)  positive learning, neutral learning, and negative learning

Question 8

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 10th unit of product A compared to product B?

Accepted Answer

A)  Both will have the identical time for the 10th unit. 
B)  A will take 48% more time. 
C)  A will take 48% less time. 
D)  A will take 23% less time. 
E)  A will take 23% more time. 
A)  Both will have the identical time for the 10th unit. 
B)  A will take 48% more time. 
C)  A will take 48% less time. 
D)  A will take 23% less time. 
E)  A will take 23% more time.

Question 9

The first unit took 79 hours; the tenth took 46 hours. What learning rate is implied by the data?

Accepted Answer

The improvement is 4

Question 10

Susan suspects strongly that there is a learning curve associated with solving problems assigned for operations management. She notes that it took her approximately 21 minutes to solve the first problem and 18 minutes to solve the fourth problem.
a. Estimate Susan's learning percentage.
b. Using your answer from part a, estimate how much longer it will take Susan to finish the three problems that remain.

Accepted Answer

(a)
 @#IMG-DLM& Resu

Question 11

Your firm has expertise with a special type of hand-finished furniture. The learning rate is known to be 75%. If the first piece of furniture took 9 hours, how long will it take to do the second? How long will it take to do the 16th?

Accepted Answer

Use the successive doubling (a

Question 12

________ are based on the premise that people and organizations get better at their tasks as the tasks are repeated.

Accepted Answer

The answer of ________ are based on the premise that...

Question 13

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 in the text.)

Accepted Answer

A)  less than 4,005 hours 
B)  from 4,005 to 4,015 hours 
C)  from 4,015 to 4,025 hours 
D)  from 4,025 to 4,035 hours 
E)  from 4,035 to 4,045 hours 
A)  less than 4,005 hours 
B)  from 4,005 to 4,015 hours 
C)  from 4,015 to 4,025 hours 
D)  from 4,025 to 4,035 hours 
E)  from 4,035 to 4,045 hours

Question 14

Learning curves are

Accepted Answer

A)  the same for all products but different for different organizations. 
B)  the same for all organizations but different for different products. 
C)  the same for all organizations and all products. 
D)  different for different organizations and different products. 
E)  appropriate in services but not in manufacturing. 
A)  the same for all products but different for different organizations. 
B)  the same for all organizations but different for different products. 
C)  the same for all organizations and all products. 
D)  different for different organizations and different products. 
E)  appropriate in services but not in manufacturing.

Question 15

The first unit of a product took 50 hours to build, and the learning curve is 80%. How long will it take to make the third unit? (Use at least three decimals in the exponent if you use the logarithmic approach.)

Accepted Answer

A)  under 30 hours 
B)  about 32 hours 
C)  about 35 hours 
D)  about 50 hours 
E)  about 75 hours 
A)  under 30 hours 
B)  about 32 hours 
C)  about 35 hours 
D)  about 50 hours 
E)  about 75 hours

Question 16

Which of the following statements is most appropriate with respect to a 70% learning curve?

Accepted Answer

A)  There will be a 70% decrease in direct labour per unit each time the production volume doubles. 
B)  Each successive unit of production will take 70% of the direct labour of the previous unit. 
C)  There will be a 30% decrease in direct labour per unit each time production volume doubles. 
D)  Thirty percent of the production will be defective until full learning takes place. 
E)  Seventy percent of the workforce is fully educated. 
A)  There will be a 70% decrease in direct labour per unit each time the production volume doubles. 
B)  Each successive unit of production will take 70% of the direct labour of the previous unit. 
C)  There will be a 30% decrease in direct labour per unit each time production volume doubles. 
D)  Thirty percent of the production will be defective until full learning takes place. 
E)  Seventy percent of the workforce is fully educated.

Question 17

The fourth unit of production took 80 minutes while the ninth unit of production took 50 minutes. How long did the first unit take?

Accepted Answer

T(1) = 80/(4^b) = 50/(

Question 18

The learning curve rate is

Accepted Answer

A)  the percentage of time it will take to make each unit when the production rate doubles. 
B)  the log-log of the annual rate change divided by the average unit cost. 
C)  always based on constant value dollars. 
D)  only considered valid after one year of data is accumulated. 
E)  always equal to at least 75%. 
A)  the percentage of time it will take to make each unit when the production rate doubles. 
B)  the log-log of the annual rate change divided by the average unit cost. 
C)  always based on constant value dollars. 
D)  only considered valid after one year of data is accumulated. 
E)  always equal to at least 75%.

Question 19

Your firm has expertise with a special type of hand-finished furniture. The learning rate is known to be 88%. If the first piece of furniture took 5 hours, how long will it take to do the second? How long will it take to do the 8th?

Accepted Answer

Use the successive doubling (a

Question 20

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 labour bill for the fourth unit. (Use at least three decimals in the exponent if you use the logarithmic approach.)

Accepted Answer

A)  $400 or less 
B)  from $400 to $420 
C)  from $420 to $440 
D)  from $1800 to $2000 
E)  over $2000 
A)  $400 or less 
B)  from $400 to $420 
C)  from $420 to $440 
D)  from $1800 to $2000 
E)  over $2000

Exam 22: Learning Curves

When comparing a 70% learning curve versus a 90% learning curve, which one results in a more rapid reduction in labour requirements? Why?

The seventh unit of production took 63.423 minutes while the ninth unit of production took 59.8 minutes. What is the improvement rate?

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

Your firm has a contract to make 20 specialty lenses for night vision equipment. The first one took 40 hours. Learning is expected at the 85% rate. How long will it take to finish all 20 units?

Learning curves have a variety of purposes, which can be placed into which of these broad categories?

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 10th unit of product A compared to product B?

The first unit took 79 hours; the tenth took 46 hours. What learning rate is implied by the data?

Your firm has expertise with a special type of hand-finished furniture. The learning rate is known to be 75%. If the first piece of furniture took 9 hours, how long will it take to do the second? How long will it take to do the 16th?

________ are based on the premise that people and organizations get better at their tasks as the tasks are repeated.

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 in the text.)

Learning curves are

The first unit of a product took 50 hours to build, and the learning curve is 80%. How long will it take to make the third unit? (Use at least three decimals in the exponent if you use the logarithmic approach.)

Which of the following statements is most appropriate with respect to a 70% learning curve?

The fourth unit of production took 80 minutes while the ninth unit of production took 50 minutes. How long did the first unit take?

The learning curve rate is

Your firm has expertise with a special type of hand-finished furniture. The learning rate is known to be 88%. If the first piece of furniture took 5 hours, how long will it take to do the second? How long will it take to do the 8th?

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 labour bill for the fourth unit. (Use at least three decimals in the exponent if you use the logarithmic approach.)

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