The First Product Took 10 Hours to Build and the Learning

question 11

Multiple Choice

The first product took 10 hours to build and the learning curve is estimated to be 90%. How long with it take to make the fourth unit?

• A) 10 hours
• B) 9 hours
• C) 8.1 hours
• D) 7.5 hours
• E) 7.0 hours

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Definitions:

Credit Sale

A transaction where the goods or services are provided to the customer with payment to be made at a later date.

Accounts Receivable

This refers to the amount of money customers are yet to pay a company for the products or services which have already been provided.

Sales Revenues

Revenue generated through the sales of goods or services throughout a certain period.

Credit Sales

Sales made by a business wherein the payment is postponed, leading to the creation of an account receivable.