SOLUTION: An operation has a 15 percent scrap rate. As a result, 64 pieces per hour are produced. What is the potential increase in labor productivity that could be achieved by eliminating t

Question 852862: An operation has a 15 percent scrap rate. As a result, 64 pieces per hour are produced. What is the potential increase in labor productivity that could be achieved by eliminating the scrap?
Answer by josgarithmetic(39626) (Show Source): You can put this solution on YOUR website!
This operation which produced the 64 pieces also produced 15% scrap. 100-15=85, so the 64 pieces produced is 85% of {good pieces + scrap}. Call that brace-enclosed quantity, T. 0.85T=64 pieces, so T=75.294, approximately to five figures. The scrap produced for this 64 good pieces was 0.15(75.294)=11.294 scrap pieces.

The increase in productivity if that 11.294 amount scrap were good instead of scrap would be ... think about it .... ... approximately, close enough to 17.6% increase in productivity.
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