Test: CPA Business Environment and Concepts (BEC)

1.

Given that demand exceeds capacity, that there is no spoilage or waste, and that there is full utilization of a constant number of assembly hours, the number of components needed for an assembly operation with an 80% learning curve should (1) Increase for successive periods (2) Decrease per unit of output

Both 1 and 2

1

2

Neither

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