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Cost-Based Pricing by Darrell J. Oyer

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CHAPTER 10

Improvement Curves

The improvement curve is a generalization of the concept that, within certain reasonable limits, the knowledge, skills, and techniques employed in the production of a product will improve as production of the product continues without material change. This improvement will result in a corresponding reduction in the time and material required to produce the product and in the cost of the product. The rate of improvement will be relatively regular and constant for any given product. Generalization of these concepts has made available to production planners, analysts, and contract estimators a valuable technique of graphical and computational analysis and a tool for evaluating production requirements and costs. Estimators, ...

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