A manager wants to analyze the learning curve associated with producing one of his company's products. Accordingly, he has gathered the following data: $$\begin{array} { | l | l | }
\hline \text { UNIT PRODUCED } & \text { TIME REQUIRED } \
\hline \text { Second } & 5 \text { hours } \
\hline \text { Fourth } & 4 \text { hours } \
\hline
\end{array}$$
What is the learning curve percentage?
A) 40 percent
B) 50 percent
C) 75 percent
D) 80 percent
E) 90 percent

Question

A manager wants to analyze the learning curve associated with producing one of his company's products. Accordingly, he has gathered the following data: $$\begin{array} { | l | l | } 
\hline \text { UNIT PRODUCED } & \text { TIME REQUIRED } \
\hline \text { Second } & 5 \text { hours } \
\hline \text { Fourth } & 4 \text { hours } \
\hline
\end{array}$$
What is the learning curve percentage?
A) 40 percent
B) 50 percent
C) 75 percent
D) 80 percent
E) 90 percent

Quizplus · Accepted Answer

To determine the learning curve percentage, we need to use the following formula:

$$ \text{learning curve percentage}= 100 \times \left(\dfrac{\text{Time for first unit} - \text{Time for nth unit}}{\text{Time for first unit}}\right) \div \log_2 \text{(n)}$$

where n is the number of units produced that we want to compare.

Using the given data, we can compare producing the 1st unit to producing the 2nd unit:

$$ \text{learning curve percentage}= 100 \times \left(\dfrac{5-4}{5}\right) \div \log_2 2$$

$$ \text{learning curve percentage}= 80 \text{ percent}$$

Therefore, the answer is D, 80 percent.

A Manager Wants to Analyze the Learning Curve Associated with Producing