Electronics Repair, Refurbishment & Depot Operations worked example

Diagnostic Labor Cost at 92% units requiring full diagnostics: a worked example

What does the result look like when units requiring full diagnostics reaches 92%? The full calculation is worked below with real intermediate numbers. Use it when diagnostic labor cost in electronics repair, refurbishment and depot operations is being put through a electronics repair, refurbishment and depot operations weighted-cost review.

The inputs for this scenario

  • RMA units diagnosed: 100 units (unchanged)
  • Diagnostic labor cost per unit: 45 $ / unit (unchanged)
  • Units requiring full diagnostics: 92 % (raised for this scenario; the documented default is 80)
  • Fixed diagnostic setup cost: 250 $ (unchanged)

Working through the calculation

  • Applying the documented formula (Variable diagnostic labor cost = RMA units diagnosed × diagnostic labor cost per unit × units requiring full diagnostics) to the inputs above produces each figure below.
  • At this operating point the engine returns 4,390 $ for total diagnostic labor cost, the number this scenario is built around.
  • At this operating point the engine returns 43.9 $ / piece for diagnostic labor cost per rma unit.
  • At this operating point the engine returns 4,140 $ for variable diagnostic labor cost.
  • At this operating point the engine returns 250 $ for fixed diagnostic setup cost.

How this compares with the baseline

  • Against the tool's baseline example, where units requiring full diagnostics sits at 80% and the headline result is 3,850 $, this scenario comes in 14.03% above the baseline at 4,390 $.
  • A figure at this level is achievable when units requiring full diagnostics is genuinely sustained, not just peaked for a shift. It assumes a single average labor cost per unit; complex multi-fault units or no-fault-found returns will diverge from the modeled average.

Results at a glance

  • Total diagnostic labor cost: 4,390 $ (headline result)
  • Diagnostic labor cost per RMA unit: 43.9 $ / piece
  • Variable diagnostic labor cost: 4,140 $
  • Fixed diagnostic setup cost: 250 $

Run it with your numbers

  • Every input above is editable in the live Diagnostic Labor Cost calculator, which recalculates instantly and can be shared with the inputs intact.

Last reviewed 2026-05-12.