ack Simpson, contract negotiator for Nebula Airframe Company, is currently involved in bidding on a follow-up government contract. In gathering cost data from the first three units, which Nebula produced under a research and development contract, he found that the first unit took 2,000 labor hours, the second took 1,600 labor hours, and the third took 1,500 hours. Use Exhibit 4A.6.   In a contract for three more units, how many labor hours should Simpson plan for?

Purchasing and Supply Chain Management
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ISBN:9781285869681
Author:Robert M. Monczka, Robert B. Handfield, Larry C. Giunipero, James L. Patterson
Publisher:Robert M. Monczka, Robert B. Handfield, Larry C. Giunipero, James L. Patterson
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Jack Simpson, contract negotiator for Nebula Airframe Company, is currently involved in bidding on a follow-up government contract. In gathering cost data from the first three units, which Nebula produced under a research and development contract, he found that the first unit took 2,000 labor hours, the second took 1,600 labor hours, and the third took 1,500 hours. Use Exhibit 4A.6.

 

In a contract for three more units, how many labor hours should Simpson plan for?

 

Note: Round your answer to the nearest whole number.

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