Question: 1) Given the following unit learning curve equation, which statement is correct?
Y = 118 (X)-0.286304
The slope equals 1 - 0.286304 = .7137 or 71.37%
118 is the theoretical cost of the first unit
118 represents the unit you are estimating
Y represents the cost of the first unit
2) The first unit required 9800 hours to manufacture. The company expects to experience an 85% unit learning curve. Estimate the cost of the 20th unit. (Round intermediate calculations to 4 decimal places)
23112 hours
5408 hours
4855 hours
4155 hours