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Supplementary objective test questions

CHAPTER 4 – LEARNING CURVES

4.1 The time for the first unit produced was 100 hours. The time for the second unit
was 90 hours.

What is the learning rate?

A 95%

B 90%

C 89.1%

D 100%

4.2 A company is preparing a quotation for a new product. The time taken for the
first unit of the product was 30 minutes and the company expects a 85%
learning curve. The quotation is to be based on the time taken for the final unit
within the learning period, which is expected to end after the company has
produced 200 units.

What is the time per unit to be used for the quotation?

A 6.67 minutes

B 25.5 minutes

C 30.0 minutes

D 32.8 minutes

4.3 Clough Limited is about to launch a new product and needs to prepare some
production budgets. It has produced the first batch of 10 items in a time of
12 hours, and based on past experience it anticipates an 80% learning rate to
apply to this product. In the next period it expects to produce another 100 items.

How many production hours should it budget for? _____________hours

(Note: at a learning rate of 80% the learning factor (b) is –0.3219

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