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Case Study 2 A Product That Is Very Labor Intensive Assembled at Boyds

Question 2

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Case Study 2
A product that is very labor intensive assembled at Boyds Aero Structure in Memphis has an average labor cost of $20/hr. Overhead expenses are charged at 100% of labor at this company.
Time for the very first unit = 10 hours
Time for the fourth unit = 8.1 hours.
-The learning curve percentage for this operation is ________.


A) 90%
B) 85%
C) 95%
D) 75%

Correct Answer:

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