How Long Will It Take to Make 25 Units If

question 43

Multiple Choice

How long will it take to make 25 units if the first one took 8 hours and there is a 90 percent learning rate? Refer to the copy of Table I.1 appended to this exam.

• A)fewer than or equal to 130 hours
• B)greater than 130 hours but fewer than or equal to 140 hours
• C)greater than 140 hours but fewer than or equal to 150 hours
• D)greater than 150 hours

---

Definitions:

Installment Sales Contract

A sales agreement that allows the buyer to make payments over a period of time in exchange for goods or services.

Amortization Schedule

A table detailing each periodic payment on an amortizing loan (like a mortgage), showing the amount of each payment that goes towards principal and interest over the loan term.

Interest Rate

The amount charged by a lender to a borrower for the use of assets expressed as a percentage of the principal.

Effective Interest Rate

The actual interest rate earned or paid on an investment, loan, or financial product, considering compounding over a given time frame.