Austen Co.produced a pilot run of eighty units of a recently developed part used in the finished products.Austen Co.expects to produce and sell 2,560 units annually.The pilot run required 40 direct labor hours for the eighty units, averaging 0.5 direct labor hours per unit.Austen experiences an eighty percent learning curve.
Required:
Calculate the average direct labor hours per unit for the first 2,560 units (including the pilot run) produced.

Question

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The Answer of Austen Co.produced a pilot run of eighty units of a recently developed part used in the finished products.Austen Co.expects to produce and sell 2,560 units annually.The pilot run required 40 direct labor hours for the eighty units, averaging 0.5 direct labor hours per unit.Austen experiences an eighty percent learning curve.
Required:
Calculate the average direct labor hours per unit for the first 2,560 units (including the pilot run) produced.

Austen CoProduced a Pilot Run of Eighty Units of a Recently