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Life cycle costing including learning curve

Former userFormer user10y ago

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John MoffatJohn MoffatTutor10y ago#1
The learning effect does not change the cost per hour at all. It changes the number of hours needed per unit. So the costs per hour in year 2 are $24, and in year 3 are $26 per hour. It is the number of hours that will change each year (and for that you are presumably told how many units are produced each year).
John MoffatJohn MoffatTutor10y ago#2
You are welcome :-)
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