TABLE 8. Summary of per acre costs and returns for a 480 acre farm with above
average management, Lea County, 2001.
---------------------------------------------------------------------------------
ALFALFA ALFALFA STRIPPER
ESTABLISHMENT HAY WHEAT COTTON
--------------SPRINKLER--------------
---------------------------------------------------------------------------------
TONS BU LBS
PRIMARY YIELD 6.00 48.00 425.00
PRIMARY PRICE 120.00 3.00 0.64
GOVERNMENT PAYMENTS 0.00 22.08 40.80
SECOND INCOME 0.00 50.00 33.15
GROSS RETURN $720.00 $216.08 $345.95
CASH OPERATING EXPENSES
SEED $88.50 $9.90 $11.20
FERTILIZER $77.70 $35.10 $52.30 $29.04
CHEMICALS $25.62 $28.85
CROP INSURANCE $0.47 $0.35
OTHER PURCHASED INPUTS $18.51
CANAL WATER
FUEL, OIL & LUBRICANTS-EQUIPMENT $13.03 $29.32 $9.02 $29.24
FUEL-IRRIGATION $8.56 $59.94 $28.54 $28.54
REPAIRS $14.69 $36.05 $13.32 $38.36
CUSTOM CHARGES $20.35 $89.36
LAND TAXES $0.68 $0.68 $0.68
OTHER EXPENSES $0.22 $48.69 $48.32 $48.55
________ ________ ________ ________
TOTAL CASH EXPENSES $202.70 $253.91 $182.90 $304.18
RETURN OVER CASH EXPENSES ($202.70) $466.09 $33.18 $41.77
FIXED EXPENSES $26.89 $155.34 $40.03 $74.08
TOTAL EXPENSES $229.58 $409.24 $222.93 $378.26
RETURNS TO CAPITAL, LABOR, LAND & RISK ($229.58) $310.76 ($6.85) ($32.31)
LABOR AND MANAGEMENT COSTS $32.84 $97.97 $35.26 $62.33
RETURNS TO CAPITAL, LAND & RISK ($262.42) $212.79 ($42.11) ($94.64)
CAPITAL COSTS
INTEREST ON OPERATING CAPITAL $5.55 $4.12 $5.36
INTEREST ON EQUIPMENT INVESTMENT $20.63 $6.10 $15.18
________ ________ ________ ________
TOTAL CAPITAL COSTS $0.00 $26.18 $10.22 $20.54
RETURN TO LAND AND RISK ($262.42) $186.60 ($52.33)($115.18)
======== ======== ======== ========
=================================================================================