If the cost for unit 100 in a unit theory learning curve scenario is $7.5M (FY15$), and the learning curve is 85.5%, what cost would you expect unit #400 to be? (disregard inflation) Show your work! (Hint: There is an easy way and a harder way to do this!) What cost would you expect unit #650 to be? (disregard inflation). (Yes, this should be done differently!)

Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
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If the cost for unit 100 in a unit theory learning curve scenario is $7.5M (FY15$), and the learning curve is 85.5%, what cost would you expect unit #400 to be? (disregard inflation)

Show your work! (Hint: There is an easy way and a harder way to do this!) What cost would you expect unit #650 to be? (disregard inflation). (Yes, this should be done differently!)

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