United Research Associates (URA) had received a contract to produce two units of a new cruise missile guidance control. The first unit took 5,000 hours to complete and cost $50,000 in materials and equipment usage. The second took 3,500 hours and cost $30,000 in materials and equipment usage. Labor cost is charged at $25 per hour. The company expects "learning to occur relative to labor and also the pricing of parts from suppliers. The prime contractor has now approached URA and asked to submit a bid for the cost of producing another 20 guidance controls. Use Exhibit 44.5 and Exhibit 4A.6. a. What will the last unit cost to build? (Round your answer to the nearest dollar amount.) Cost of last unit

United Research Associates (URA) had received a contract to produce two units of a new cruise missile guidance control. The first unit took 5,000 hours to complete and cost $50,000 in materials and equipment usage. The second took 3,500 hours and cost $30,000 in materials and equipment usage. Labor cost is charged at $25 per hour. The company expects "learning to occur relative to labor and also the pricing of parts from suppliers. The prime contractor has now approached URA and asked to submit a bid for the cost of producing another 20 guidance controls. Use Exhibit 44.5 and Exhibit 4A.6. a. What will the last unit cost to build? (Round your answer to the nearest dollar amount.) Cost of last unit

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...

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