materials for each of the four electronic boards. Labour 4,000 3,200 2,808 2,560 1st unit 2nd unit 3rd unit 4th unit Raw materials $7,800 $7,020 $6,600 $6,318 Magic Corporation was asked to quote in a new contract for another eight electronic boards. Estimate the time and raw materials costs for the eight units. (Hint: There are two learning curves: one for labour and one for raw materials.)
materials for each of the four electronic boards. Labour 4,000 3,200 2,808 2,560 1st unit 2nd unit 3rd unit 4th unit Raw materials $7,800 $7,020 $6,600 $6,318 Magic Corporation was asked to quote in a new contract for another eight electronic boards. Estimate the time and raw materials costs for the eight units. (Hint: There are two learning curves: one for labour and one for raw materials.)
Practical Management Science
6th Edition
ISBN:9781337406659
Author:WINSTON, Wayne L.
Publisher:WINSTON, Wayne L.
Chapter2: Introduction To Spreadsheet Modeling
Section: Chapter Questions
Problem 20P: Julie James is opening a lemonade stand. She believes the fixed cost per week of running the stand...
Related questions
Question
![Problem 3
Magic Corporation received a contract to develop and produce four electronic boards for a
computer company. The following table shows the amount of labour hours and the cost of raw
materials for each of the four electronic boards.
1st unit
2nd unit
3rd unit
4th unit
Labour
4,000
3,200
2,808
2,560
Raw materials
$7,800
$7,020
$6,600
$6,318
Magic Corporation was asked to quote in a new contract for another eight electronic boards.
Estimate the time and raw materials costs for the eight units.
(Hint: There are two learning curves: one for labour and one for raw materials.)](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F2a4b326e-a97e-45a0-a4c9-c1dbe137a939%2Fd0961b0a-117d-4944-86ba-88fac4afa589%2F2txpd1d_processed.png&w=3840&q=75)
Transcribed Image Text:Problem 3
Magic Corporation received a contract to develop and produce four electronic boards for a
computer company. The following table shows the amount of labour hours and the cost of raw
materials for each of the four electronic boards.
1st unit
2nd unit
3rd unit
4th unit
Labour
4,000
3,200
2,808
2,560
Raw materials
$7,800
$7,020
$6,600
$6,318
Magic Corporation was asked to quote in a new contract for another eight electronic boards.
Estimate the time and raw materials costs for the eight units.
(Hint: There are two learning curves: one for labour and one for raw materials.)
Expert Solution
![](/static/compass_v2/shared-icons/check-mark.png)
Step 1: Indroduction
According to the question, given data
learning rate for Labor
1st unit = 4,000 hours
2nd unit = 3,200 hours
3nd unit = 2808 hours
4th unit = 2,560 hours
Step by step
Solved in 4 steps
![Blurred answer](/static/compass_v2/solution-images/blurred-answer.jpg)
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