A company has accepted a contract to produce a special electric motor. The number of direct labour hours required to produce the first motor is 250. If an 85% learning curve applies to the production of motors, then the number of labour hours needed to produce the 4^th motor is

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Quizplus · Accepted Answer

The learning curve effect implies that each time production doubles, the time required per unit decreases by a consistent percentage. For an 85% learning curve, the time for the 4th unit is calculated as: 250 * (4^log2(0.85)) ≈ 180.6 hours.

A Company Has Accepted a Contract to Produce a Special