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Pennies and nickels

Posted: Mon Aug 16, 2021 11:10 pm
by JASONKFLO
Sorry if this has been discussed but this makes me sick . We really waste this much money a year ? It makes since how can you make anything for less than a cent . https://www.coinnews.net/2021/02/23/pen ... bbIF2CnyEk

Re: Pennies and nickels

Posted: Thu Aug 19, 2021 3:02 pm
by neals384
According to the linked chart, a penny costs 1 1/2 cents to make, so there must be a cottage industry where people melt pennies to make dollars. After all, where are the 8 billion pennies minted last year?

However, before you all start melting down your pennies, here's some math...a one cent coin weights 2.5 grams and is 2.5% copper, the rest zinc. At current metal prices, that's $.0006 of copper and $.0073 of zinc, for a total value of roughly 8 tenths of a cent. The cost of the minting process is what brings the "cost of goods sold" to 1 1/2 cents, making pennies a loser for the mint.

Nickels, however, are a potential gold mine. They weight 5 grams and are 1/4 nickel and the rest copper. A nickel has 3.4c of copper and 2.4c of nickel for a total metal value of 5.8c. Light your bunson burners, vammers!

Re: Pennies and nickels

Posted: Fri Aug 20, 2021 7:07 am
by Kurt28
I was under the impression that the value of the cent is that it facilitates the collection of sales tax.
Many, many times.
Thus justifying it's manufacture.