Exam 26: Supplement I Learning Curve Analysis

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Which one of the following is an assumption of learning curves?

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Two contract labor companies are competing for work being outsourced by Febrero SpA. One contractor, Terza, has a learning rate governed by a tripling of output at a 90% rate and the other contractor, Segundo, has a learning rate governed by the conventional doubling of output at a 90% rate. Both Terza and Segundo take 20 minutes to complete the first unit they are given for bid estimation purposes. How many more units must Terza make than Segundo before their time per unit drops below 15 minutes? [Note: a calculator is required to answer this question.]

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Given that the third unit took 100 minutes and the rate of learning is 80 percent, how much time will it take to build unit 96?

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Once the learning curve has flattened, i.e., reached a mostly horizontal shape, the per-unit time could be described as ________.

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A task that obeys learning effects will, in general, have a positive result to the equation tn₊₁tn, where tn is the completion time of the nth unit.

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An 80% learning rate means that the time falls by 20% at each doubling of output.

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What are some managerial considerations when using learning curves?

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Tim usually exhibits a 90% learning rate for the mechanical tasks he undertakes. His next big project, the fence along the street, will require 24 iterations of the fencepost task. If he has 40 hours available to work on the project, how fast must he perform the first iteration in order to finish all 24 within his allotted time?

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One assumption about learning curves is that the reduction in time will increase as output increases.

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A contractor is preparing a bid to install swimming pools at a new housing addition. The estimated time to build the first pool is 35 hours. The contractor estimates a 90 percent learning rate; what is the estimated time to install all 30 pools?

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