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Sunny Day Machine Shop is a manufacturer of motorized carts for vacation resorts. Patrick Cullin, the plant manager of Sunny Day, obtains the flowing
Sunny Day Machine Shop is a manufacturer of motorized carts for vacation resorts. Patrick Cullin, the plant manager of Sunny Day, obtains the flowing information for Job #10 in August. A total of 40 units were started, and 6 spoted units were detected and rejected at final inspection, yielding 40 good units. The spoiled units were considered to be normal spoilage. Costs assigned prior to the inspection peint are $1,000 per unit. The curent disposal price of the speed units is $200 per unit When the spoilage is detected, the spoiled goods are inventoried at $230 per un Required Requirement 1. What is the normal spoilage rate? Select the formula, and then calculate the normal spoliage rate. (Round the percentage to the nearest tenth percent XX%)
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