The First Unit of a Product Took 1,000 Hours to Build

question 104

Multiple Choice

The first unit of a product took 1,000 hours to build and the learning curve is 85%.How long will it take to make the first 5 units? (Use Table E.3)

• A)less than 4,005 hours
• B)from 4,005 to 4,015 hours
• C)from 4,015 to 4,025 hours
• D)from 4,025 to 4,035 hours
• E)from 4,035 to 4,045 hours

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Definitions:

Income from Operations

Revenue from a company's everyday business activities minus the costs and expenses associated with those operations.

Operating Expenses

Costs associated with the day-to-day operations of a business, including rent, utilities, salaries, and office supplies, but excluding cost of goods sold and capital expenditures.

Cost of Goods Sold

the direct costs tied to the production of goods sold by a company, including both raw material costs and labor costs.

Net Sales

The total revenue a company earns after deducting returns, allowances for damaged or missing goods, and any discounts allowed.