1 if the first unit of a production run takes 1 hour and, Ask an Expert

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1. If the first unit of a production run takes 1 hour and the firm is on an 80% learning curve, how long will unit 100 take? (Hint: Apply the coefficient in Table E.3 twice.)

2. Boeing spent $270 million to make the eleventh 787 in its production line. The first 787 cost $448 million. What was the learning curve rate at this point?

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