Nutraceuticals & Functional Foods worked example

Scrap Cost at 1.44% scrap rate at qc release: a worked example in nutraceuticals & functional foods

This worked example runs the scrap cost numbers for a tougher week than the baseline: 1.44% scrap rate at qc release instead of the typical 2%. Estimate the cost of scrapped units in a batch from batch quantity, unit cost, and scrap rate, so production and cost teams can size scrap loss and per-unit impact.

The inputs for this scenario

  • Batch quantity (capsules, tablets, or sachets): 20,000 units (held at the documented default)
  • Fully loaded cost per finished unit: 0.45 $ / unit (held at the documented default)
  • Scrap rate at QC release: 1.44 % (the input this scenario stresses; the baseline uses 2)
  • Fixed disposal and deviation investigation cost: 150 $ (held at the documented default)

Working through the calculation

  • The calculation starts from the formula this tool documents: Scrapped material cost = batch quantity × cost per unit × scrap rate.
  • Total scrap cost works out to 280 $ at these inputs, and this is the headline figure for the scenario.
  • Scrap cost per unit works out to 0.01 $ / unit at these inputs.
  • Scrapped material cost works out to 130 $ at these inputs.
  • Fixed disposal and investigation cost works out to 150 $ at these inputs.

How this compares with the baseline

  • Against the tool's baseline example, where scrap rate at qc release sits at 2% and the headline result is 330 $, this scenario comes in 15.27% below the baseline at 280 $.
  • Use it after a QC rejection, a deviation, or a yield-loss event to quantify the financial impact for COPQ tracking and CAPA prioritization. A result at this level usually justifies acting on the stressed input before touching anything else, because every other figure in the table is downstream of it.

Results at a glance

  • Total scrap cost: 280 $ (headline result)
  • Scrap cost per unit: 0.01 $ / unit
  • Scrapped material cost: 130 $
  • Fixed disposal and investigation cost: 150 $

Run it with your numbers

  • To rerun this with your own numbers, open the live Scrap Cost calculator, set scrap rate at qc release to your actual value, and adjust the remaining inputs to match your operation.

Last reviewed 2026-05-12.