Assume that General Dynamics, which manufactures high-technology instruments for

Question

Assume that General Dynamics, which manufactures high-technology instruments for spacecraft, is considering the sale of a navigational unit to a government agency in India that wishes to launch its own communications satellite. The government agency plans to purchase 8 units, although it would also consider buying 16 units. General Dynamics has started a chart relating labor time required to units produced. Required: Complete the labor time required to produce 8 and 16 units. (Round your answers to 2 decimal places (i.e., 32.21))

Explanation / Answer

learning % = 16800/24000 *100 = 70%

or 11760/16800 = 70%

In order to calculate time required for 8th unit, we should apply mathematical formula

Y = axb

Y = 24000 * (8)-0.1549

log Y = log 24000 + log(8)-0.1549

log Y = log24000 - 0.1549 * log 8

log y = 0.3802 - 0.1549*0.90309

log y = 0.240311

anti log y = anti log 0.240311

y = 1270.6

Time required to produce the 8 units = 8*1270.6 = 10165 hours

Time required to produce the 16 units = 11760 * 70% = 8232 hours

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