TABLE 6. Wheat, flood-irrigated, budgeted per acre costs and returns for a 640 acre farm
with above average management, Dell City area, Otero County, 2001.
Planting dates: August 15 - September 15
Harvesting dates: July 15 - July 15
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ITEM PRICE YIELD TOTAL
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GROSS RETURNS
WHEAT $3.00 35.00 CWT $105.00
ASCS DEFICIENCY $0.77 35.00 CWT $26.95
ASCS DIVERSION $0.00 $0.00
GRAZING $25.00 1.00 ACRE $25.00
_______
TOTAL $156.95
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PURCHASED FIXED
PURCHASED INPUTS PRICE QUANTITY INPUTS COST TOTAL
--------- ------ ----- ----------- ------ ----- ------
SEED $0.11 150 LBS $16.50 $16.50
ANHYDROUS (NH3) $0.2000 125 LBS $25.00 $25.00
LIVESTOCK FAC & EQUIP $5.00 $5.00
PUMP WATER* 25 AC. IN. $0.00
CROP INSURANCE $0.29 ______ $0.29
SUBTOTAL $41.50 $5.00 $46.79
POWER ACCOMPLISHMENT PURCHASED FUEL FIXED
PREHARVEST OPERATIONS UNIT RATE INPUTS LABOR & LUBE REPAIRS COST TOTAL
---------- ---------- -------------- ----------- --------- ----- ----- ------- ----- ------
DISC 155 HP 0.14 HR $1.05 $1.86 $0.89 $3.02 $6.82
ANHYDROUS APPL 155 HP 0.20 HR $7.00 $1.50 $2.65 $0.94 $3.66 $15.75
DISC 155 HP 0.14 HR $1.05 $1.86 $0.89 $3.02 $6.82
DRILL 93 HP 0.12 HR $0.90 $1.13 $0.78 $3.38 $6.18
IRRIGATE (5X) 2.50 HR $16.88 $49.07 $1.00 $12.97 $79.92
_________ ______ ______ ______ ______ ______ ______
SUBTOTAL 3.10 HR $7.00 $21.38 $56.56 $4.51 $26.04 $115.48
HARVEST OPERATIONS
------- ----------
COMBINE (CUSTOM) $26.00 $26.00
______ ______ ______ ______ ______ ______
SUBTOTAL $26.00 $0.00 $0.00 $0.00 $0.00 $26.00
OVERHEAD EXPENSES
-------- --------
DOWNTIME 0.15 HR $1.13 $1.13
EMPLOYEE BENEFITS $3.85 $3.85
INSURANCE $0.43 $0.43
LAND TAXES $2.97 $2.97
SUPERVISION AND MANAGEMENT $13.79 $13.79
OTHER EXPENSES $54.45 $54.45
_________ ______ ______ ______ ______
SUBTOTAL 0.15 HR $54.88 $18.76 $2.97 $76.61
--------- ------- ------ ------ ------ ------ -------
TOTAL OPERATING EXPENSES 3.25 HR $129.38 $40.13 $56.56 $4.51 $34.01 $264.88
NET OPERATING PROFIT ($107.93)
INTEREST ON OPERATING CAPITAL ( $36.16 @ 9.00%) $3.25
INTEREST ON EQUIPMENT INVESTMENT $9.59
RETURN TO LAND AND RISK ($120.78)
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*Pump water costs are shown under irrigation in the preharvest operations section.
BUDGET SUMMARY
GROSS RETURN $156.95 VARIABLE OPERATING EXPENSES $190.44 RETURN OVER VARIABLE EXPENSES ($33.49) (GROSS MARGIN) FIXED EXPENSES $34.01 NET FARM INCOME ($67.50) (RETURN TO CAPITAL, LABOR, LAND & RISK) LABOR AND MANAGEMENT COST $40.13 NET OPERATING PROFIT ($107.64) (RETURN TO CAPITAL, LAND & RISK) CAPITAL COSTS $12.85 RETURN TO LAND AND RISK ($120.48) ===================================================================================================