TABLE 4. Wheat, dryland, budgeted per acre costs and returns for a 1,000 acre farm with above average
management, Southern Quay County, 2001.
Planting dates: August 20 - September 15
Harvesting dates: June 15 - July 10
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ITEM PRICE YIELD TOTAL
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GROSS RETURNS
WHEAT $3.00 20.00 BUSHELS $60.00
ASCS DEFICIENCY $0.46 20.00 BUSHELS $9.20
ASCS DIVERSION $0.00 $0.00
GRAZING $5.00 1.00 ACRE $5.00
_______
TOTAL $74.20
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PURCHASED
PURCHASED INPUTS PRICE QUANTITY INPUTS TOTAL
--------- ------ ----- ----------- ------ ------
SEED $0.11 25 LBS $2.75 $2.75
CROP INSURANCE $0.08 $0.08 $0.08
SUBTOTAL $2.83 $2.83
POWER ACCOMPLISHMENT PURCHASED FUEL FIXED
PREHARVEST OPERATIONS UNIT RATE INPUTS LABOR &OIL REPAIRS COST TOTAL
---------- ---------- -------------- ----------- --------- ----- ----- ------- ----- ------
SWEEP (2X) 185 HP 0.16 HR $1.21 $2.32 $1.40 $3.65 $8.58
STUBBLE MULCHER 185 HP 0.08 HR $0.60 $1.16 $0.90 $3.23 $5.89
RODWEED (2X) 126 HP 0.16 HR $1.21 $1.58 $0.63 $0.66 $4.08
DRILL 126 HP 0.12 HR $0.91 $1.19 $1.89 $2.32 $6.30
_________ ______ ______ ______ ______ ______
SUBTOTAL 0.52 HR $3.93 $6.26 $4.81 $9.86 $24.85
HARVEST OPERATIONS
------- ----------
COMBINE 22 FT 0.14 HR $1.06 $1.64 $0.00 $8.55 $11.25
HAUL 2 TON 0.14 HR $1.06 $1.25 $0.00 $2.37 $4.68
_________ ______ ______ ______ ______ ______
SUBTOTAL 0.28 HR $2.11 $2.88 $0.00 $10.93 $15.92
OVERHEAD EXPENSES
-------- --------
DOWNTIME 0.20 HR $1.51 $1.51
EMPLOYEE BENEFITS $1.09 $1.09
INSURANCE $0.12 $0.12
LAND TAXES $0.37 $0.37
SUPERVISION AND MANAGEMENT $6.19 $6.19
OTHER EXPENSES $10.89 $10.89
_________ ______ ______ ______ ______
SUBTOTAL 0.20 HR $11.01 $8.79 $0.37 $20.18
--------- ------- ------ ------ ------ ------ -------
TOTAL OPERATING EXPENSES 1.00 HR $13.85 $14.83 $9.14 $4.81 $21.15 $63.79
NET OPERATING PROFIT $10.41
INTEREST ON OPERATING CAPITAL ( $4.42 @ 9.00%) $0.40
INTEREST ON EQUIPMENT INVESTMENT $12.59
RETURN TO LAND AND RISK ($2.58)
=====================================================================================================================
BUDGET SUMMARY
GROSS RETURN $74.20 VARIABLE OPERATING EXPENSES $27.80 RETURN OVER VARIABLE EXPENSES $46.40 (GROSS MARGIN) FIXED EXPENSES $21.15 NET FARM INCOME $25.25 (RETURN TO CAPITAL, LABOR, LAND & RISK) LABOR AND MANAGEMENT COST $14.83 NET OPERATING PROFIT $10.41 (RETURN TO CAPITAL, LAND & RISK) CAPITAL COSTS $12.99 RETURN TO LAND AND RISK ($2.58) ===================================================================================================