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1. Key in the program, (Note: If the average cost are not going to be calcu-
lated, lines 25 through 48 need not be keyed in).
2. To calculate r, the learning factor, if C
1
and C
n
are known:
a. Key in C
1
, the cost of the first unit and press .
b. Key in C
n
, the cost of the nth unit and press .
c. Key in n, the number of units and press to calculate r the
learning factor.
3. To calculate the cost of the nth unit when C
1
and r are known:
a. Key in C
1
and press 1. Key in r and press 2. (Note:
This step may be skipped if step 2 has just been done).
b. Key in the number of units, n and calculate C
n
, the cost of the nth
unit by pressing 16 .
4. To calculate the average cost per unit of the ith through jth unit, C
ij
, if C
1
and r are known.
a. Key in C
1
and press 1. Key in r and press 2. (Note:
This step may be skipped if step 2 has just been done).
b. Key in the number of the last unit of the batch, j and press
.
c. Key in the number of the first unit of the batch, i, and calculate the
average cost per unit by pressing 25 .
Example 2: The electronic manufacturer cited in example 1 found that the
100th instrument actually cost $395 to manufacture. Find the actual
learning factor,
r, the cost of the 500th unit and the average cost of units
500 thru 1000. (Recall that C
1
was $875).
R
5
-R
.3
: Unused
Keystrokes Display
875
875.00
395
395.00
100
0.89 Actual r.
500 16
299.14 Cost of the 500th unit.
1000
1000.00
500 25
280.00
Average cost of the 500th thru 1000th
unit.