Fastener Manufacturing & Thread Rolling worked example

Scrap Value Loss at 61% nonrecoverable loss factor: a worked example

Here is what the math looks like when conditions slip. We hold every other input steady and drop nonrecoverable loss factor to 61%, then walk the calculation through step by step. Estimate the dollar loss from scrapped fasteners using reject count or weight, material or finished value, recoverable credit, and fixed handling cost.

The inputs for this scenario

  • Scrapped fastener quantity or weight: 850 pieces or lb (held at the documented default)
  • Value at scrap point: 0.18 $ / unit (held at the documented default)
  • Nonrecoverable loss factor: 61 % (the input this scenario stresses; the baseline uses 85)
  • Sorting, freight, or disposal cost: 125 $ (held at the documented default)

Working through the calculation

  • The calculation starts from the formula this tool documents: Scrap value loss = scrapped quantity × value at scrap point × nonrecoverable factor + fixed handling cost.
  • Total scrap value loss works out to 218 $ at these inputs, and this is the headline figure for the scenario.
  • Loss per scrapped unit works out to 0.26 $ / unit at these inputs.
  • Nonrecoverable variable loss works out to 93.33 $ at these inputs.
  • Fixed handling cost works out to 125 $ at these inputs.

How this compares with the baseline

  • Against the tool's baseline example, where nonrecoverable loss factor sits at 85% and the headline result is 255 $, this scenario comes in 14.4% below the baseline at 218 $.
  • The practical read: the gap between this scenario and the baseline is entirely attributable to nonrecoverable loss factor, so recovering it is worth quantifying in dollars before considering equipment or staffing changes. It uses a single value-at-scrap-point, so a mix of parts scrapped at different process stages (cheap pre-thread blanks vs fully heat-treated parts) needs separate runs to stay accurate.

Results at a glance

  • Total scrap value loss: 218 $ (headline result)
  • Loss per scrapped unit: 0.26 $ / unit
  • Nonrecoverable variable loss: 93.33 $
  • Fixed handling cost: 125 $

Run it with your numbers

  • To rerun this with your own numbers, open the live Scrap Value Loss calculator, set nonrecoverable loss factor to your actual value, and adjust the remaining inputs to match your operation.

Last reviewed 2026-05-12.