CIMA Exam CIMAPRO19-P02-1 Topic 1 Question 71 Discussion

Actual exam question for CIMA's CIMAPRO19-P02-1 exam

Question #: 71
Topic #: 1

An 80% learning curve will apply to the production of a new product. The first unit will require 120 labor hours. The labor rate is $11 per hour.

To the nearest $1, the expected total labor cost for the first 4 units is:

A$3,379

B$845

C$5,280

D$4,224

Show Suggested Answer

Suggested Answer: A, C, D

by Elly at Jul 05, 2023, 07:03 PM

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Louann

14 days ago

I'm not sure about the learning curve formula. Can you explain it to me?

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Elke

15 days ago

I agree with Ashlee. The total labor cost for the first 4 units can be calculated using the learning curve formula.

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Lashon

16 days ago

Ah, the joys of manufacturing cost analysis. Let's see, 80% learning curve, first unit at 120 hours... Okay, I think I've got this!

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Natalie

16 hours ago

A) $3,379

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Stevie

17 days ago

Hmm, this question looks tricky. I think I need to brush up on my learning curve calculations.

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Ashlee

17 days ago

I think the answer is D) $4,224.

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Pearlie

18 days ago

I'm not sure about this one. Can someone explain how the learning curve affects the total labor cost?

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Catalina

20 days ago

I agree with Roxane. The 80% learning curve means the labor hours will decrease with each unit produced, leading to a lower total cost for the first 4 units.

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Roxane

21 days ago

I think the answer is D) $4,224.

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