As production of an item increases, what impact does that typically have on the unit cost?
- Unit cost decreases
What is the typical impact on a program's cost and schedule when unstable requirements lead
to changes late in the system's development?
- Significantly negative impact on cost and schedule.
In determining the correct appropriation for funding the development of a product
improvement, the first/primary consideration is:
- Will it increase the performance capability?
The Army has an urgent requirement for trucks that can operate under arctic conditions. The
Contracting Officer on the current contract for trucks tells the contractor to install special snow
tires on a shipment of trucks. The Contracting Officer does not have enough time to negotiate
the price up front, but she limits the Government's risk by putting a not-to-exceed price on the
work. This is an example of what kind of modification?
- change order that is undefinitized.
Which of the following is considered to be a practice of "Lean Manufacturing?"
- Low levels of inventory
In the cost of quality breakdown, appraisal is:
- Money spent looking for errors.
Learning curve theory states that as the quantity of a product produced _______, the man-
hours per unit expended producing the product ______.
- Doubles; decrease at a fixed rate.