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kap26 [50]
3 years ago
11

A time standard was set as 0.20 hour per unit based on the 20th unit produced. Assume the task has a 60 percent learning curve.

Refer to Exhibit 6.4. What would be the expected time of the 40th, 80th, and 160th units? (Do not round intermediate calculations. Round your answers to 2 decimal places.)
Business
1 answer:
Sliva [168]3 years ago
6 0

Answer:

40th unit = 0.11 hr

80th unit = 0.06 hr

160th unit = 0.03 hr

Explanation:

Given :

$T_{20} = 0.2$

Learning rate = 60% = 0.6 (r)

Now using the learning curve equation,

$ T_n = T_1(n)^b$

where b is  $b= \frac{\ln r}{\ln 2} = \frac{\ln 0.6}{\ln 2} $  = -0.833

Now

$ T_{20} = T_1(20)^{-0.833}$

$ 0.20 = T_1 (0.0824)$

$T_1$ = 2.5

For 40th unit

$ T_{40} = 2.5(40)^{-0.833}$

      = 0.11 hrs

For 80th unit

$ T_{80} = 2.5(80)^{-0.833}$

      = 0.06 hrs

For 160th unit

$ T_{160} = 2.5(160)^{-0.833}$

        = 0.03 hr

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We have income increase to be = 100 dollars

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