Outdoor Power Equipment worked example

Scrap Cost at 72% scrap rate: a worked example in outdoor power equipment

Here is what the math looks like when conditions slip. We hold every other input steady and drop scrap rate to 72%, then walk the calculation through step by step. Estimate total scrap cost for a build from scrapped units, scrap value per unit, the scrap rate, and fixed disposal cost.

The inputs for this scenario

  • Scrapped units: 150 units (held at the documented default)
  • Scrap value per unit: 32 $ / unit (held at the documented default)
  • Scrap rate: 72 % (the input this scenario stresses; the baseline uses 100)
  • Fixed disposal cost: 400 $ (held at the documented default)

Working through the calculation

  • The calculation starts from the formula this tool documents: Variable scrap cost = scrapped units × scrap value per unit × scrap rate.
  • Total scrap cost works out to 3,856 $ at these inputs, and this is the headline figure for the scenario.
  • Scrap cost per affected unit works out to 25.71 $ / piece at these inputs.
  • Variable scrap cost works out to 3,456 $ at these inputs.
  • Fixed disposal cost works out to 400 $ at these inputs.

How this compares with the baseline

  • Against the tool's baseline example, where scrap rate sits at 100% and the headline result is 5,200 $, this scenario comes in 25.85% below the baseline at 3,856 $.
  • The practical read: the gap between this scenario and the baseline is entirely attributable to scrap rate, so recovering it is worth quantifying in dollars before considering equipment or staffing changes. It applies a single scrap rate and uniform unit value; mixed-value scrap streams (aluminum decks versus plastic shrouds) need to be run separately or the blended result will mislead.

Results at a glance

  • Total scrap cost: 3,856 $ (headline result)
  • Scrap cost per affected unit: 25.71 $ / piece
  • Variable scrap cost: 3,456 $
  • Fixed disposal cost: 400 $

Run it with your numbers

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

Last reviewed 2026-05-12.