Which of the following statements is most appropriate with respect to a 70% learning curve?
A) There will be a 70% decrease in direct labour per unit each time the production volume doubles.
B) Each successive unit of production will take 70% of the direct labour of the previous unit.
C) There will be a 30% decrease in direct labour per unit each time production volume doubles.
D) Thirty percent of the production will be defective until full learning takes place.
E) Seventy percent of the workforce is fully educated.

Question

Quizplus · Accepted Answer

The 70% learning curve states that there will be a 30% decrease in direct labour per unit each time production volume doubles. This means that as production volume increases, the amount of direct labour required to produce each unit decreases by 30%. Option A is incorrect because there is no mention of a 70% decrease in direct labour, option B may be confusing in its use of percentages and it does not account for the cumulative effect of increased production volume, Option D is irrelevant to the concept of a learning curve, and Option E is not applicable as there is no mention of the workforce in the context of the learning curve.

Which of the Following Statements Is Most Appropriate with Respect