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Calculate the rate of learning at which the initial production phase profit target would be achieved, assuming no other cost savings can be made.
Assuming no other cost savings can be made the direct labour cost would have to reduce by $1,903 (i.e. the excess of cost above the target cost) to a total cost of $6,600 which is the equivalent of 660 hours at $10 per hour. 660 hours in total represents an average time of 10.3125 hours per batch (660 / 64 batches) Since the learning continued throughout the production of the 64 batches then this average can be used to determine the rate of learning required to achieve the target variable cost. 64 batches of production represent 6 doublings of cumulative output therefore: 10.3125 / 25 = 0.4125 6√0.4125 = 0.8628 The learning rate at which the target variable cost would be achieved is 86.3%
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One month before she died on April 14, 2002, Barbara Gent (Amy's aunt) gave Amy a coin collection. Based on careful records that Barbara kept, the collection had a cost basis of $9
importance value index ivi
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By the discussions we had previous, it is not tough to come to the conclusion that numerous factors influence the fund or net working capital needs. Fund needs vary along with t
Series Arithmetic Mean Standard Deviation Small-company stocks 15.9 % 32.8 % Large-company
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