A Construction Firm Wants to Estimate the Direct Labor of a Worker

question 76

Multiple Choice

A construction firm wants to estimate the direct labor of a worker who will perform multiple iterations of tasks.The worker must do a total of 20 of these activities to reach steady state.The time estimated to perform the 20th iteration is 2 hours,and the learning rate for this repetitive activity is 70%.The cost of labor is $40/hr.Estimate the direct labor cost for 20 iterations of these activities.

• A)$2,767.25
• B)$2,341.45
• C)$3,456.65
• D)$1,234.12

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Definitions:

Increase

A rise in quantity, size, value, or extent.

Percent

A proportion or share in a whole, expressed as a fraction of 100.

Percentage Less

The reduced amount expressed as a fraction of a hundred.

Sales

The exchange of goods or services for money, constituting the primary source of revenue for most businesses.