Spin Inc., manufactures complex units of motorboats. Fabricating these units require a high degree of technical skill. However, employees have an opportunity to learn how to produce the units more effectively. In estimating direct labor-hours, a 70% learning curve can be used. Completing one prototype unit required 1,200 labor hours at a cost of P18,000.

1.The cumulative average worker-hours per unit for a total of 2 units is

2.The cumulative average worker-hours unit for a total of 8 units is

3.The estimated direct labor cost for an order of seven additional units is