TABLE 9. Spring lettuce, flood-irrigated, budgeted per acre costs and returns for a farm with above
         average management, Dona Ana and Sierra Counties, 2001.
              Planting Dates: January 1 - February 1
              Harvest Dates: May 1 - May 31
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         ITEM                     PRICE                    YIELD                                                               TOTAL
------------------------------------------------------------------------------------------------------------------------------------
GROSS RETURNS
    SPRING LETTUCE                6.23                   475.00  CARTONS                                                  $2,959.25
                                                                                                                          ______
         TOTAL                                                                                                            $2,959.25
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                                                                         PURCHASED
PURCHASED INPUTS                  PRICE                QUANTITY            INPUTS                                              TOTAL
--------- ------                -----                 -------   -----      ------                                         ------
    SEED                        $85.00                     4.00  LBS        $340.00                                         $340.00
    NITROGEN (N)                 $0.42                      250  LBS        $105.00                                         $105.00
    PHOSPHATE (P205)             $0.39                      175  LBS         $68.25                                          $68.25
    INSECTICIDE                 $35.29                        3  X/ACRE     $105.88                                         $105.88
    PUMP WATER*                                              16  AC. IN.
    CANAL WATER                                              14  AC. IN.     $45.00                                          $45.00
                                                                           ______                                         ______
         SUBTOTAL                                                           $664.13                                         $664.13
 
                                  POWER            ACCOMPLISHMENT        PURCHASED                FUEL             FIXED
PREHARVEST OPERATIONS              UNIT                 RATE                  INPUTS    LABOR     &OIL  REPAIRS     COST       TOTAL
---------- ------- ---       ---------------       ----------------      -----------   -----    -----   -------   -----    -----
    DISC                     140 HP                        0.14  HR                    $0.83    $1.48    $0.70    $2.20       $5.22
    CHISEL                   140 HP                        0.20  HR                    $1.19    $2.12    $1.15    $3.15       $7.61
    PLOW                     140 HP                        0.38  HR                    $2.26    $4.03    $2.76    $6.75      $15.81
    DISC (2X)                140 HP                        0.28  HR                    $1.67    $2.97    $1.41    $4.40      $10.44
    LASER PLANE (CUSTOM)                                                     $73.33                                          $73.33
    FERTILIZE                140 HP                        0.05  HR                    $0.30    $0.53    $0.25    $0.68       $1.76
    DISC                     140 HP                        0.14  HR                    $0.83    $1.48    $0.70    $2.20       $5.22
    LISTER                   140 HP                        0.18  HR                    $1.07    $1.91    $1.08    $3.13       $7.19
    PRE-IRRIGATE                                           0.75  HR                    $4.46    $1.55    $0.05    $7.71      $13.77
    ROLLING CULT             40 HP                         0.21  HR                    $1.25    $0.85    $0.11    $0.21       $2.42
    VEG-PLANT SHAPER         140 HP                        0.26  HR                    $1.55    $2.76    $1.98    $5.62      $11.90
    CULT & SIDEDRESS (2X)    140 HP                        0.66  HR                    $3.93    $7.00    $3.94   $10.54      $25.41
    ROLLING CULT (3X)        40 HP                         0.21  HR                    $1.25    $0.85    $0.11    $0.21       $2.42
    THIN & HOE (CUSTOM)                                                     $120.00                                         $120.00
    DUSTER (CUSTOM)                                                           $5.00                                           $5.00
    ROTO BUCK (8X)           40 HP                         0.12  HR                    $0.71    $0.48    $0.08    $0.75       $2.03
    IRRIGATE (8X)                                          4.00  HR                   $23.80   $12.43    $0.39   $61.67      $98.29
                                                      _______   ___        ______     ______   ______   ______   ______   ______
         SUBTOTAL                                          7.58  HR         $198.33   $45.10   $40.45   $14.72  $109.22     $407.82
 
HARVEST OPERATIONS
------- ----------
    HARVEST (CUSTOM)                                                        $878.75                                         $878.75
    CARTONS (CUSTOM)                                                        $403.75                                         $403.75
    HAUL (CUSTOM)                                                           $142.50                                         $142.50
    BROKERAGE (CUSTOM)                                                      $273.73                                         $273.73
                                                      _______   ___        ______     ______   ______   ______   ______   ______
         SUBTOTAL                                          0.00  HR       $1,698.73    $0.00    $0.00    $0.00    $0.00   $1,698.73
 
OVERHEAD EXPENSES
-------- --------
    DOWNTIME                                               0.71  HR                    $4.21                                  $4.21
    EMPLOYEE BENEFITS                                                                  $8.12                                  $8.12
    INSURANCE                                                                 $0.90                                           $0.90
    LAND TAXES                                                                                                    $9.38       $9.38
    SUPERVISION AND MANAGEMENT                                                       $132.67                                $132.67
    OTHER EXPENSES                                                           $66.11                                          $66.11
                                                      _______   ___        ______     ______                     ______   ______
         SUBTOTAL                                          0.71  HR          $67.01  $145.00                      $9.38     $221.39
                                                      -------   ---        ------     ------   ------   ------   ------  -------
TOTAL OPERATING EXPENSES                                   8.29  HR       $2,628.21  $190.10   $40.45   $14.72  $118.60   $2,992.08
 
NET OPERATING PROFIT                                                                                                        ($32.83)
 
    INTEREST ON OPERATING CAPITAL              (           $537     @          9.00%)                                        $48.33
    INTEREST ON EQUIPMENT INVESTMENT                                                                                         $42.01
 
RETURN TO LAND AND RISK                                                                                                    ($123.17)
====================================================================================================================================
   *Pump water costs are shown under irrigation in the preharvest operation section.
                                            BUDGET SUMMARY
 
GROSS RETURN                                          $2,959.25
  VARIABLE OPERATING EXPENSES            $2,683.38
RETURN OVER VARIABLE EXPENSES                           $275.87     (GROSS MARGIN)
  FIXED EXPENSES                           $118.60
NET FARM INCOME                                         $157.27     (RETURN TO CAPITAL, LABOR, LAND & RISK)
  LABOR AND MANAGEMENT COST                $190.10
NET OPERATING PROFIT                                    ($32.83)    (RETURN TO CAPITAL, LAND & RISK)
  CAPITAL COSTS                             $90.34
RETURN TO LAND AND RISK                                ($123.17)
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