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Lazer Technologies Inc. (LTI) has produced a total of 20 high-power laser systems that could be used to destroy any approaching enemy missiles or aircraft. The 20 units have been produced, funded in part as private research within the research and development arm of LTI, but the bulk of the funding came from a contract with the U.S. Department of Defense (DOD). Testing of the laser units has shown that they are effective defense weapons, and through redesign to add portabilly and easier field maintenance, the units could be truck-mounted DoD has asked LTI to submit a bid for 100 units. The 20 units that LTI has built so far cost the following amounts and are listed in the order in which they were produced: Use Exhibit 4A 5 and Exhibit 4A6 1 2 3 4 COST UNIT COST (6 RILLIONS) NUMER 15 MILLIONS) $13.0 11 $7.3 10.0 12 7.2 10.0 13 7.0 9.2 14 7.0 15 6.8 8.5 16 6.8 3.2 17 6.6 8.0 10 6.5 7.7 19 6.4 7.6 20 6.5 2 10 a. Based on past experience, what is the learning rate? (Do not round Intermediate calculations. Round your answer to the nearest whole percent.) Leaming rate 70% b. What cost should I use in their bid for the total order of 100 additional units, assuming that learning continues? (Use your rounded learning rate from Part a. Enter your answer in milions of dollars rounded to one decimal place.) Cont for 100 more units 3 1480 million dollars c. What is the cost expected to be for the last unit under the learning rate you estimated? (Use your rounded learning rate from Part 1. Enter your answer in millions of dollars rounded to one decimal place.) Expected cost for listinn 10 million dolar Lazer Technologies Inc. (LTI) has produced a total of 20 high-power laser systems that could be used to destroy any approaching enemy missiles or aircraft. The 20 units have been produced, funded in part as private research within the research and development arm of LTI, but the bulk of the funding came from a contract with the U.S. Department of Defense (DOD). Testing of the laser units has shown that they are effective defense weapons, and through redesign to add portabilly and easier field maintenance, the units could be truck-mounted DoD has asked LTI to submit a bid for 100 units. The 20 units that LTI has built so far cost the following amounts and are listed in the order in which they were produced: Use Exhibit 4A 5 and Exhibit 4A6 1 2 3 4 COST UNIT COST (6 RILLIONS) NUMER 15 MILLIONS) $13.0 11 $7.3 10.0 12 7.2 10.0 13 7.0 9.2 14 7.0 15 6.8 8.5 16 6.8 3.2 17 6.6 8.0 10 6.5 7.7 19 6.4 7.6 20 6.5 2 10 a. Based on past experience, what is the learning rate? (Do not round Intermediate calculations. Round your answer to the nearest whole percent.) Leaming rate 70% b. What cost should I use in their bid for the total order of 100 additional units, assuming that learning continues? (Use your rounded learning rate from Part a. Enter your answer in milions of dollars rounded to one decimal place.) Cont for 100 more units 3 1480 million dollars c. What is the cost expected to be for the last unit under the learning rate you estimated? (Use your rounded learning rate from Part 1. Enter your answer in millions of dollars rounded to one decimal place.) Expected cost for listinn 10 million dolar

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