An engineering company has 80% learning effect and spends
500 hours for the prototype. Estimate the labour cost of producing 7 engine of new order if the labour cost is rs.40 per hour
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Total time for lots = 4096 hours Total labour cost at Rs 40 per hour = 4096 × 40 = Rs 163840.Read more on Sarthaks.com - https://www.sarthaks.com/640587/engineering-company-has-80-learning-effect-and-spends-1000-hours-produce-lot-the-product
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