Passage Summary: A clothing company says 7 percent of their clothes are defective or returned, and they recycle all of those. However, they also report that 9 percent of their total production ends up as recycled scrap. We need to figure out where that extra 2 percent is coming from.

Reasoning: The manufacturer states that 7 percent of its garments are unsalable and that all of these are recycled, yet the total amount of recycled scrap is reported as 9 percent of production.

Analysis: We are faced with a mathematical discrepancy: 7% of production is 'unsalable garments,' but 9% of production is 'recycled scrap.' Since all unsalable garments are recycled, we are missing the source of the remaining 2%. To resolve this, we need a piece of information that identifies another source of scrap that isn't classified as a finished 'unsalable garment.' Perhaps the manufacturing process itself creates fabric waste before a garment is even completed.