Question 1

To use the table of learning-curve coefficients,you must specify ________ and ________.

Accepted Answer

the learning curve rate,the unit number of interest

Question 2

Your company is making experimental turbochargers for a new design of high-powered farm tractors.
The production schedule for these new components is contained in the table below.
   The first turbocharger,a trial unit,took 900 hours to produce.Based on your experience with similar products,the learning curve is 85%.You have 20 employees,and each employee works 160 hours per month.How many hours will be required in each month? In which month(s)will overtime be required to meet the production schedule?

Accepted Answer

Use the Total Time column of the 85% section of Table E.3.The first four turbochargers require 900 ∗ 3.345 = 3,010 hours.The first 10 turbochargers require 900 ∗ 7.116 = 6,404 hours.From this answer,deduce that units 5 through 10 take 6,404 - 3,010 = 3,394 hours.The 20 employees contribute 3200 hours per month.Therefore,overtime is not needed in the first month but is needed in the second.Overtime is also needed in months 3 and 4,but not in month 5.The table below contains calculation details.

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. )

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 D

Question 4

The learning curve may not be permanent;it can be disrupted by changes in process,personnel,or product.

Accepted Answer

A) True 
 B)False

Question 5

A job with a 90% learning curve required 20 hours for the initial unit.The fourth unit should require approximately how many hours?

Accepted Answer

A) 16.0 
B) 16.2 
C) 18.0 
D) 20.0 
E) 54.2 
A) 16.0 
B) 16.2 
C) 18.0 
D) 20.0 
E) 54.2

Question 6

Learning curves can only be applied to labor.

Accepted Answer

A) True 
 B)False

Question 7

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 8

Explain how learning curves might be applied in a scheduling application.

Accepted Answer

Learning curves can determine the total

Question 9

The first unit of a product took 832 hours to build,and the learning curve is 90%.How long will it take to make the 25th unit? (Use at least three decimals in the exponent if you use the formula approach. )

Accepted Answer

A) time ≤ 500 hours 
B) 500  550 
A) time ≤ 500 hours 
B) 500  550

Question 10

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) none of the above 
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) none of the above

Question 11

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

Accepted Answer

A) True 
 B)False

Question 12

It took 18 hours to complete the first two products with an 80% learning curve.How long did the second product take?

Accepted Answer

A) 8.0 hours 
B) 10.0 hours 
C) 18.0 hours 
D) 8.1 hours 
E) none of the above 
A) 8.0 hours 
B) 10.0 hours 
C) 18.0 hours 
D) 8.1 hours 
E) none of the above

Question 13

The doubling approach to learning curve calculations allows us to determine the hours required for any unit.

Accepted Answer

A) True 
 B)False

Question 14

You are about to undertake the manufacture of a labor-intensive electronics component.The first unit took 300 hours.You are not sure whether the learning curve is 70% or 80%.The initial phase of the contract calls for 6 of these components.
a.How much time will it take to complete all six at 70% learning?
b.How much time will it take to complete all six at 80% learning?

Accepted Answer

From Table E.3,70 percent lear

Question 15

A project manager bases his time and labor estimates on a learning curve of 86%.The actual learning curve turns out to be 89%.The manager,because of the decreased learning,will complete his project in more time and with more labor use than his estimate suggested.

Accepted Answer

A) True 
 B)False

Question 16

Which of the following is representative of a firm pursuing a learning-curve strategy?

Accepted Answer

A) aggressive pricing policy 
B) focus on productivity improvement 
C) building on shared experience 
D) keeping capacity growing ahead of demand 
E) all of the above 
A) aggressive pricing policy 
B) focus on productivity improvement 
C) building on shared experience 
D) keeping capacity growing ahead of demand 
E) all of the above

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

An 80% learning curve means that with each unit increase in production,labor requirements fall by 20%.

Accepted Answer

A) True 
 B)False

Question 19

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. )

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

Question 20

You are a cost accountant for a firm that specializes in "small" (under 10 billion dollars)defense contracts for specialty electronics products,such as fully portable,miniaturized CD-ROM imaging stations and global positioning transmitters/transponders.Your company is well respected in this field.One project up for competitive bids is a Field Service,Hands-Free,Individual Multi-Protocol Secure Communicator (a battlefield version of a cellular telephone,but built into each soldier's helmet,and containing necessary encryption technology).The Department of Defense wants 8 of these experimental devices to test their practicality.You have reviewed the contract specifications,and estimated that the first FSHFIMPSC should require 2350 hours,and that the product is subject to a 75% learning curve.All costs of the project (machine purchase,machine time,direct and indirect labor,and materials)have been bundled (allocated)into an hourly labor rate of $172 per hour.Determine the total project cost using the provided data.

Accepted Answer

From Table E.3,2350 ∗ 4.802 =

Exam 26: Learning Curves

To use the table of learning-curve coefficients,you must specify ________ and ________.

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. )

The learning curve may not be permanent;it can be disrupted by changes in process,personnel,or product.

A job with a 90% learning curve required 20 hours for the initial unit.The fourth unit should require approximately how many hours?

Learning curves can only be applied to labor.

Learning curves are:

Explain how learning curves might be applied in a scheduling application.

The first unit of a product took 832 hours to build,and the learning curve is 90%.How long will it take to make the 25th unit? (Use at least three decimals in the exponent if you use the formula approach. )

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?

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

It took 18 hours to complete the first two products with an 80% learning curve.How long did the second product take?

The doubling approach to learning curve calculations allows us to determine the hours required for any unit.

A project manager bases his time and labor estimates on a learning curve of 86%.The actual learning curve turns out to be 89%.The manager,because of the decreased learning,will complete his project in more time and with more labor use than his estimate suggested.

Which of the following is representative of a firm pursuing a learning-curve strategy?

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

An 80% learning curve means that with each unit increase in production,labor requirements fall by 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 labor bill for the fourth unit.(Use at least three decimals in the exponent if you use the formula approach. )

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To use the table of learning-curve coefficients,you must specify and .