Question: Laptops - R - US has received an order for 4 5 0 specially configured personal computers for a large construction company. The small four

Laptops-R-US has received an order for 450 specially configured personal
computers for a large construction company. The small four-person operation has so many orders that they can no longer perform the work themselves, and they must hire extra labor to assemble the units for this new order.
They have hired six students from Cal State University to work part time,
20 hours per week, to assemble the computers. The prototype unit required
45 hours of direct labor; from experience, the owners know that their computer assembly operation has an 86-percent learning curve. How long will
it take Laptops-R-US to deliver the completed order? If the six students are
paid $10 per hour, how much should Laptops-R-US charge the customer.
(Assume that Laptops-R-USs overhead rate is 145 percent of direct labor
cost and the expected profit margin is 10 percent.)

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