TABLE 6. Corn silage, flood-irrigated, budgeted per acre costs and returns for a 200 acre farm with above
         average management, Virden area, Hidalgo County, 2001.
              Planting dates: April 15 - May 31
              Harvest dates: August 15 - October 15
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         ITEM                  PRICE             YIELD                                                          TOTAL
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GROSS RETURNS
    CORN SILAGE              $16.00             25.00  TONS (STANDING)                                       $400.00
                                                                                                              _______
         TOTAL                                                                                               $400.00
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                                                                 PURCHASED                             FIXED
PURCHASED INPUTS               PRICE             QUANTITY          INPUTS                               COST    TOTAL
--------- ------               -----            -----------       --------                            -----     -----
    SEED                      $0.98                30  000       $29.44                                       $29.44
    ANHYDROUS AMMONIA (NH3) $0.2000               250  LBS       $50.00                                       $50.00
    NITROGEN (N)              $0.42                32  LBS       $13.44                                       $13.44
    PHOSPHATE (P205)          $0.39                40  LBS       $15.60                                       $15.60
    CANAL WATER                                    36  AC. IN.                                       $20.00   $20.00
    PUMP WATER*                                    14  AC. IN.
                                                                 ______                              ______   _______
         SUBTOTAL                                               $108.48                              $20.00  $128.48
 
                               POWER         ACCOMPLISHMENT    PURCHASED              FUEL             FIXED
PREHARVEST OPERATIONS           UNIT              RATE            INPUTS    LABOR   & LUBE  REPAIRS     COST    TOTAL
---------- ----------      --------------      -----------     ---------    -----    -----  -------   -----     -----
    FERTILIZE              65 HP                 0.05  HR                  $0.38    $0.33    $0.11    $1.38    $2.20
    DISC                   145 HP                0.17  HR                  $1.28    $2.15    $0.72    $2.70    $6.86
    CHISEL                 145 HP                0.20  HR                  $1.51    $2.53    $0.75    $3.55    $8.34
    DISC                   145 HP                0.17  HR                  $1.28    $2.15    $0.72    $2.70    $6.86
    FLOAT                  65 HP                 0.24  HR                  $1.81    $1.58    $0.27    $0.50    $4.16
    LISTER                 65 HP                 0.18  HR                  $1.36    $1.18    $0.38    $1.11    $4.03
    PRE-IRRIGATE                                 0.75  HR                  $4.84    $1.82    $0.05    $0.84    $7.55
    MULCHER                145 HP                0.15  HR                  $1.13    $1.90    $0.84    $4.44    $8.31
    PLANTER                145 HP                0.26  HR                  $1.96    $3.29    $2.15    $7.56   $14.96
    CULTIVATOR (2X)        65 HP                 0.42  HR                  $3.17    $2.76    $0.79    $1.28    $8.00
    ROTOBUCK (3X)          145 HP                0.09  HR                  $0.68    $1.14    $0.26    $1.79    $3.87
    IRRIGATE (7X)                                3.50  HR                 $22.58   $12.74    $0.33    $5.88   $41.53
                                                _________                 _______  _______  _______  _______  _______
         SUBTOTAL                                6.18  HR                 $41.98   $33.55    $7.39   $33.74  $116.66
 
OVERHEAD EXPENSES
-------- --------
    DOWNTIME                                     0.46  HR                  $3.47                               $3.47
    EMPLOYEE BENEFITS                                                      $7.56                               $7.56
    INSURANCE                                                     $0.84                                        $0.84
    LAND TAXES                                                                                        $2.96    $2.96
    SUPERVISION AND MANAGEMENT                                            $33.17                              $33.17
    OTHER EXPENSES                                               $74.16                                       $74.16
                                                _________        _______  _______                    _______  _______
         SUBTOTAL                                0.46  HR        $75.00   $44.20                      $2.96  $122.16
                                                ---------        -------  -------  -------  -------  -------  -------
TOTAL OPERATING EXPENSES                         6.64  HR       $183.48   $86.18   $33.55    $7.39   $56.70  $367.29
 
NET OPERATING PROFIT                                                                                          $32.71
 
    INTEREST ON OPERATING CAPITAL           (   64.47     @        9.00%)                                      $5.80
    INTEREST ON EQUIPMENT INVESTMENT                                                                          $22.37
 
RETURN TO LAND AND RISK                                                                                        $4.53
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    * Pump water costs are shown under irrigation in the preharvest operation section.
                                         BUDGET SUMMARY
 
GROSS RETURN                                  $400.00
  VARIABLE OPERATING EXPENSES        $224.41
RETURN OVER VARIABLE EXPENSES                 $175.59     (GROSS MARGIN)
  FIXED EXPENSES                      $56.70
NET FARM INCOME                               $118.89     (RETURN TO CAPITAL, LABOR, LAND & RISK)
  LABOR AND MANAGEMENT COST           $86.18
NET OPERATING PROFIT                           $32.71     (RETURN TO CAPITAL, LAND & RISK)
  CAPITAL COSTS                       $28.17
RETURN TO LAND AND RISK                         $4.53
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