TABLE 7. Sorghum-sudan hay, sprinkler-irrigated, budgeted per acre costs and returns for a 50 acre part-time farm,
         Tularosa Basin, Otero County, 2001.
              Planting dates: May 1 - June 1
              Harvesting dates: June 1 - August 1
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         ITEM                  PRICE             YIELD                                                          TOTAL
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GROSS RETURNS
    SORGHUM/SUDAN HAY        $90.00              5.00  TONS (STACKED)                                        $450.00
                                                                                                              ______
         TOTAL                                                                                               $450.00
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                                                               PURCHASED                               FIXED
PURCHASED INPUTS               PRICE             QUANTITY        INPUTS                                 COST    TOTAL
--------- ------              -----             -----------      ------                              ------   ------
    SEED                      $1.04                50  LBS       $52.00                                       $52.00
    NITROGEN (N)              $0.42               100  LBS       $42.00                                       $42.00
    PUMP WATER*                                    16  AC. IN.
                                                                 ______                                       ______
         SUBTOTAL                                                $94.00                                       $94.00
 
                               POWER         ACCOMPLISHMENT    PURCHASED              FUEL             FIXED
PREHARVEST OPERATIONS           UNIT              RATE            INPUTS    LABOR     &OIL  REPAIRS     COST    TOTAL
---------- ----------      --------------      -----------     ---------   -----    -----   -------   -----    -----
    DISC                   50 HP                 0.39  HR                  $2.63    $1.97    $1.52    $6.99   $13.11
    FLOAT (2X)             50 HP                 0.64  HR                  $4.32    $3.23    $2.12    $9.40   $19.07
    DRILL                  50 HP                 0.21  HR                  $1.42    $1.06    $0.91   $35.04   $38.44
    IRRIGATE (4X)                                2.00  HR                 $12.90   $34.87    $5.96   $43.09   $96.82
                                                _________                 ______   ______   ______   ______   ______
         SUBTOTAL                                3.24  HR                 $21.27   $41.13   $10.52   $94.52  $167.44
 
HARVEST OPERATIONS
------- ----------
    SWATHER (2X)           14 FT                 0.32  HR                  $2.16    $1.62    $0.65   $14.81   $19.23
    BALER, PTO (2X)        50 HP                 0.42  HR                  $2.84    $2.12    $1.77    $8.09   $14.82
    BALE WAGON (2X)        50 HP                 0.40  HR                  $2.70    $2.02    $3.30   $12.13   $20.15
                                                _________                 ______   ______   ______   ______   ______
         SUBTOTAL                                1.14  HR                  $7.70    $5.76    $5.73   $35.02   $54.20
 
OVERHEAD EXPENSES
-------- --------
    DOWNTIME                                     0.60  HR                  $4.02                               $4.02
    EMPLOYEE BENEFITS                                                      $3.48                               $3.48
    FARM INSURANCE                                                $0.35                                        $0.35
    LAND TAXES                                                                                        $1.47    $1.47
    SUPERVISION AND MANAGEMENT                                            $21.19                              $21.19
    OTHER EXPENSES                                               $58.10                                       $58.10
                                                _________        ______   ______                     ______   ______
         SUBTOTAL                                0.60  HR        $58.44   $28.68                      $1.47   $88.59
                                                ---------        ------   ------   ------   ------   ------  -------
TOTAL OPERATING EXPENSES                         4.98  HR       $152.44   $57.65   $46.89   $16.25  $131.02  $404.24
 
NET OPERATING PROFIT                                                                                          $45.76
 
    INTEREST ON OPERATING CAPITAL           (  $60.87     @        9.00%)                                      $5.48
    INTEREST ON EQUIPMENT INVESTMENT                                                                          $69.77
 
RETURN TO LAND AND RISK                                                                                      ($29.48)
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    * Pump water costs are shown under irrigation in the preharvest operations section.
                                         BUDGET SUMMARY
 
GROSS RETURN                                  $450.00
  VARIABLE OPERATING EXPENSES        $221.06
RETURN OVER VARIABLE EXPENSES                 $228.94     (GROSS MARGINS)
  FIXED EXPENSES                     $131.02
NET FARM INCOME                                $97.93     (RETURNS TO CAPITAL, LABOR, LAND & RISK)
  LABOR AND MANAGEMENT COST           $57.65
NET OPERATING PROFIT                           $40.28     (RETURNS TO CAPITAL, LAND & RISK)
  CAPITAL COSTS                       $69.77
RETURN TO LAND AND RISK                       ($29.48)
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