Welding & Fabrication worked example

Weld Scrap Cost with weldments scrapped of 2 parts: a worked example

Here is what the math looks like when conditions slip. We hold every other input steady and drop weldments scrapped to 2 parts, then walk the calculation through step by step. Estimate weld scrap cost from scrapped weldments, per-part material and labor sunk, scrap disposal, and burden carried.

The inputs for this scenario

  • Weldments scrapped: 2 parts (the input this scenario stresses; the baseline uses 4)
  • Per-part sunk cost at scrap: 320 $ / part (held at the documented default)
  • Cutting and scrap disposal cost: 180 $ (held at the documented default)
  • Burden absorbed by scrapped lot: 240 $ (held at the documented default)

Working through the calculation

  • The calculation starts from the formula this tool documents: Total weld scrap cost = weldments scrapped × per-part sunk cost at scrap + cutting and scrap disposal cost + burden absorbed by scrapped lot.
  • Total weld scrap cost works out to 1,060 $ at these inputs, and this is the headline figure for the scenario.
  • Weld scrap cost per weldment works out to 530 $ / piece at these inputs.
  • Per-part sunk cost at scrap works out to 640 $ at these inputs.
  • Disposal and absorbed burden works out to 420 $ at these inputs.

How this compares with the baseline

  • Against the tool's baseline example, where weldments scrapped sits at 4 parts and the headline result is 1,700 $, this scenario comes in 37.65% below the baseline at 1,060 $.
  • The practical read: the gap between this scenario and the baseline is entirely attributable to weldments scrapped, so recovering it is worth quantifying in dollars before considering equipment or staffing changes. It captures direct sunk cost but not downstream opportunity cost — a late-shipped order or a lost customer isn't in the number.

Results at a glance

  • Total weld scrap cost: 1,060 $ (headline result)
  • Weld scrap cost per weldment: 530 $ / piece
  • Per-part sunk cost at scrap: 640 $
  • Disposal and absorbed burden: 420 $

Run it with your numbers

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

Last reviewed 2026-05-12.