Hereford Company is planning to introduce a new product with an 80% learning rate for production for batches of 1,000 units. The variable labor costs are $30 per unit for the first 1,000-unit batch. Each batch requires 100 hours. There are $10,000 in fixed costs not subject to learning What is the cumulative average time per batch using the incremental unit-time learning curve for 2,000 units?

**Correct answer is 90 hours. I just do not know how to get to this answer. Please help. Thank you!