Exam 4: PART-A: Learning Curves

company's production process has an 80 percent learning curve rate.The process has produced 1,000 units to date.process refinement is estimated to allow a future learning curve rate for the identical product of 75 percent.However,the initial unit made using the new process will take the same amount of time as the initial unit produced using the old process.At what point,using the new process,will the production rate exceed the production rate achieved by the old process?

The learning curve states that the more experience you have in a particular activity;the less surprised you will be when something goes wrong.

company can produce a small lot of products the first time at a cost of $10,000.If their 75 percent learning curve allows them to reduce their costs on each lot,what is the total cost of producing 10 lots?

If a person performing a task has been achieving an 80 percent learning curve and it took 10 minutes to produce the first unit,the total time to produce 100 units will be 326.5 minutes.

The unit improvement factor is not as useful as arithmetic tabulation of learning curve statistics in adjusting time estimates for learning.

If a person performing a task has been achieving a 75 percent learning curve and you know that the task will end after the 80^th unit,the last unit produced will take 17.12 percent as much time as the first unit.

The point at which the scale economy curve and the learning curve intersect is called the capacity optimum.

company can produce a small lot of products the first time at a cost of $2,000.If their 85 percent learning curve allows them to reduce their costs on each lot,what is the total cost of producing 5 lots?

You are a consultant called in to estimate the costs after the employees learn how to do a job more efficiently by repetition of new product.You find a company can produce a product the first time at a cost of $5,000.If their 90 percent learning curve allows them to reduce their costs on each unit,what is the total cost of producing 100 units of the new product?