Rotable inventory is defined as an inventory that can be economically restored to a serviceable condition and, in the normal course of operations, can be repeatedly rehabilitated to a fully serviceable condition over a period approximating the life of the flight equipment to which it is related. Of course, there are scrap rates as with all inventory, however, with Rotable inventory the scrap rate is assumed to be very low, perhaps only a few percentage points or even a fraction of a point
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