Follow Steps A through E to complete all empty lines below in Table A. A. It applies to any business practice but more in manufacturing mass production. B. Different experience rates on different business tasks; electronics vs: mink coats. C. First unit cost =K, Experience rate =A Alpha (a), Total cost =TC, Average cost =AC, Number of units handled or produced =X. For the 1H unit, X is the same as AC. Example: The total cost of 300 units will be denoted as TCX =TC300=KXX2 in a logarithm model. D. When the cumulative volume (X) doubles, the average cost decreases according to the experience rate (a) which ranges from 0 to 99 percent. You cseed to pay extra attention to the volume (X) for doubling: E. Fill in the blanks below if a=90$,K=$100, and Price (P)=$55. Follow the steps. Do not rush. Step 1. Make sure that X exactlidoubles. Step 2. Compute AC by the experience rate, a.(590=1000.90 and $81:=900.90) Step 3. Compute TC by multiplying X by AC. Step 4. Compute TR by multiplying X by P. 5tep 5. Compute Profit by TR - TC Step 5. Compute Profit by TR - TC. Steps in Graphic Presentation Steo I Draw a venticalaxisstandins for AC and mark the Samount of S10 interval. Steps in Graphic Presentation Step 1. Draw a vertical axis standing for AC and mark the $ amount of $10 interval. Step 2. Draw a horizontal axis for volume X and merk the number as shown in the doubling process. Step 3. Mark each point where X meets AC. Step 4. Connect each point to see a downward slope curve to see the relationship between X and A. Graphic Presentation of Experience Curve Pricing