Applying the Incremental Unit Time Learning Curve

Large Vessels Inc. accepted an order for $4$ ships. The production process is lengthy due to the customization required in the specification outlined in the contract. The production of the first ship required $216,000$ direct labor hours. Based on past projects, the company anticipates an $75\%$ incremental unit time learning curve.

a$.$ What is the number of labor hours expected to be incurred to produce the second ship?

b$.$ What is the number of labor hours expected to be incurred to produce the fourth ship?

$$

c$.$ Recalculate your answers to parts a & b using a $65\%$ incremental unit time learning curve.

Second Ship

Fourth Ship $$

d$.$ Recalculate your answers to parts a & b using a $85\%$ incremental unit time learning curve.

Second Ship $$

$x$

Fourth Ship