Learning curves will help managers develop more accurate estimates of labor and material costs that are incurred during the production cycles.This statement is an application of learning curves in which of the following functions?
A)workforce planning and scheduling
B)cost estimation and budgeting
C)new product pricing
D)procurement negotiations in supply chains

Question

Quizplus · Accepted Answer

Learning curves are commonly used in cost estimation and budgeting to develop more accurate estimates of labor and material costs. This is because learning curves assume that as workers become more experienced, they become more efficient at performing their tasks, leading to decreased labor costs over time. This is particularly useful for managers who need to estimate costs for production cycles with a high degree of accuracy in order to develop realistic budgets and pricing strategies.

Learning Curves Will Help Managers Develop More Accurate Estimates of Labor