quote:
Originally posted by Nitram Draw:
I"m still a little confused, o.k. stop your laughing .
This is how I read it. Adding 5 to my production means my base production rate goes from 100% to 105%. Adding 5 to my maintenance rate means my base maintenance cost goes from 100% to 95%.
Am I missing something?
Yup. What you're missing is that the base maintenance cost does not start at 100%. It starts at 25%, that is, 25% of the original cost of the item. If you have a 5% improvement, that would be 25% - 5% = 20% so that your maintenance cost would be 20% of the cost of the item. Compared to 25%, it would also be a 20% savings in maintenance costs. If, however, you had a 20% improvement in maintenance costs, your maintenance costs would be 25% - 20% = 5% of the original cost of the item for an overall maintenance cost savings of 80%. Hope this helps.