Boeing has probably spent $300 million to build each 787 so far and will realize revenue of

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Boeing has probably spent $300 million to build each 787 so far and will realize revenue of as little as $50 million for the early models, Barclays analysts Joe Campbell and Carter Copeland estimate. Douglas Harned, an analyst with Sanford C. Bernstein, says that the 45th plane built will probably cost Boeing at least $184 million. That would make the average cost (adjusting for the learning curve) over the first 1000 jets at least $116 million per planes. Assuming these numbers are correct, what is the learning curve r (percentage) constant for the 787?

Posted Date: Sep 09, 2021 07:55 AM

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Boeing has probably spent $300 million to build each 787 so far and will realize revenue of

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Cost for the first plane C1 300m Cost for the 45 th plane C45 184m N 45 Let the learning curve c... View the full answer

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