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Yield
Definition
The percentage of raw materials that are successfully converted into finished, sellable products during the manufacturing process, reflecting production efficiency and waste levels.
How It's Calculated
Yield (%) = (Finished Goods Output ÷ Total Raw Material Input) × 100
Example
A snack manufacturer uses 1,000 pounds of raw ingredients to produce 900 pounds of finished product. The yield is 90%, with the remaining 10% lost to waste or inefficiencies during production.
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