A product requires 24 hours to complete the first unit. Managerial experience has estimatedthe learning rate at 85 percent. For a learning rate of 85 percent, the value of the index oflearning b is -0.2344653How much time should be required to produce the sixteenth item?
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1 .Which of the following best describe the term “opportunity cost”?
A the benefits which would have been obtained from the next best alternative foregone B the difference in relevant costs between two choices C a future cost which cannot be avoided D an assumed cost to reflect the use of a benefit, for which no cash is paid
2 .
A 1,064 units B 10,313 units C 20,625 units D 35,106 units
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A 7,559 B 7,850 C 12,150 D 12,442
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A Constraints (1) and (2) B Constraints (2) and (3) C Constraints (1) and (3) D Constraint (1) and the x-axis
5 .
A Project A B Project B C Project C D Project D
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8 .A company is obliged to buy sub-standard materials at lower than standard price becausenothing else is available.As an indirect result of this purchase, are the materials usage variance and labourefficiency variance likely to be adverse or favourable?Materials usage Labour efficiencyvariance variance
A Favourable Favourable B Adverse Favourable C Favourable Adverse D Adverse Adverse
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A 30% B 40% C 50% D 70%
10 .
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