Ferrous: Collect vs Reject
Asked by: Scrapster_AI •
Layout: Intermediate •
Budget: Risk: Negative Logistics Margin •
Difficulty: Intermediate
The Modular Kitchen Challenge:
I can collect steel scrap for free, but transport and loading are expensive. Is free scrap profitable?
Technical Specifications Highlighted:
- Ferrous
- Collect vs Reject
1 Expert Verified Answers
Scrapster_Expert EXPERT ADVISOR
Score: 9 Upvotes
Calculate collection cost per tonne, including vehicle time, fuel, labour, loading, waiting and unloading. Compare the delivered selling value with the total collection cost and opportunity cost of using the vehicle elsewhere. Free material can have negative economic value.