Read the requirements.

Requirement $1.$ Prepare a prediction of the total costs for producing the six PT$109$s for the Navy.

Begin by calculating the cumulative total time in labor$-$hours. $($Round all answers to the nearest whole number.$)$

$($Enter the hours rounded to the nearest hour.$)$

The total time to produce six PT$109$s is hours.

Now calculate the predicted total costs of producing the six PT$109$s$.($Round your answers to the nearest whole dollar.$)$

Requirements

Prepare a prediction of the total costs for producing the six PT$109$s for the Navy.

Compare the cost predictions from requirement $1($incremental unit$-$time

learning model$)$ with the cost predictions based on a cumulative average$-$time

learning model which has total costs of $$5,225,269.$ Why are the

predictions different? How should Nautilus decide which model it should use?

Cumulative average$-$time learning model's cumulative average time per unit and

cumulative total time:

$($Click the icon to view the cumulative average$-$time learning model's cumulative average time per unit and cumulative total time.$)$

Difference in total costs to manufacture the second through seventh boat under the incremental unit$-$time learning model

and the cumulative average$-$time learning model is

The total costs are higher for the

$.$ The total costs are higher for the

Direct materials cost

Direct manufacturing labor time for first boat

Learning curve for manufacturing labor time per boat

Direct manufacturing labor costs

Variable manufacturing overhead costs

Other manufacturing overhead

Tooling costs ${?}^2$

Tooling costs ${?}^2$

$1$

Using the formula for a $90\%$ learning curve, $b=\frac{ln0\mathrm{.}90}{ln2}=\frac{-0\mathrm{.}105361}{0\mathrm{.}693147}=-0\mathrm{.}152004$