Learning curve, cumulative average-time learning curve. (20 minutes) Geneve Dfense Systemes manufactures radar systems. It has just

Learning curve, cumulative average-time learning curve. (20 minutes) Geneve Défense Systemes manufactures radar systems. It has just completed the manufacture of its first newly designed system, RS-32.

It took 3,000 direct manufacturing labour-hours (DMLH) to produce this one unit. Geneve Défense Systemes believes that a 90% cumulative average-time learning model for direct manufacturing labour-hours applies to RS-32. (A 90% learning curve implies g = —0.1520.) The variable costs of producing RS-32 are 

REQUIRED Calculate the total variable costs of producing 2, 4 and 8 units. njy7

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Direct materials costs Direct manufacturing labour costs Variable manufacturing overhead costs SFr 80,000 per RS-32 SFr 25 per DMLH SFr 15 per DMLH