With the right tool attachments and a little ingenuity, there is little you
CAN'T do on a lathe.
As for your specific question a little more detail is required. If you want
to mill a rectangular hole with rounded corners, then yes, with the proper
tooling attachment sit might be done on a lathe (it might be better done on
a mill). If you want a retangular hole with square corners, then I can't
think of any rotating machine that will do the job. You will need a broach
or punch.

For shaping metal the three fundamental machines seem to be the lathe, the
mill, and the bandsaw.


wrote in message
ups.com...
Can you "mill out" with a lathe? Like make a rectangle hole bigger in a
pto yoke?