TABLE 6. Wheat, sprinkler-irrigated, budgeted per acre costs and returns for a 960 acre farm with above average
management, Blackwater Draw area, Roosevelt County, 2001.
Planting Dates: August 20 - September 15
Harvest Dates: June 1 - June 25
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ITEM PRICE YIELD TOTAL
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GROSS RETURNS
WHEAT $3.00 60.00 BUSHELS $180.00
ASCS DEFICIENCY $0.46 60.00 BUSHELS $27.60
ASCS DIVERSION $0.00 $0.00
GRAZING $0.00 1.00 ACRE $0.00
_______
TOTAL $207.60
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PURCHASED
PURCHASED INPUTS PRICE QUANTITY INPUTS TOTAL
--------- ------ ----- ----------- ------ ------
SEED $0.11 120 LBS $13.20 $13.20
NITROGEN (N) $0.42 120 LBS $50.40 $50.40
PHOSPHATE (P2O5) $0.39 40 LBS $15.60 $15.60
INSECTICIDE (CUSTOM) $19.07 1 X/ACRE $19.07 $19.07
PUMP WATER* 18 AC. IN.
CROP INSURANCE $0.24 $0.24 $0.24
SUBTOTAL $98.50 $98.50
POWER ACCOMPLISHMENT PURCHASED FUEL FIXED
PREHARVEST OPERATIONS UNIT RATE INPUTS LABOR & LUBE REPAIRS COST TOTAL
---------- ---------- -------------- ----------- --------- ----- ----- ------- ----- ------
BROADCAST (CUSTOM) $4.00 $4.00
IRRIGATE (17X) 0.85 HR $5.74 $63.34 $9.54 $24.63 $103.24
_________ ______ ______ ______ ______ ______ _______
SUBTOTAL 0.85 HR $4.00 $5.74 $63.34 $9.54 $24.63 $107.24
HARVEST OPERATIONS
------- ----------
COMBINE (CUSTOM) $5.97 $5.97
HAUL (CUSTOM) $9.60 $9.60
______ ______
SUBTOTAL $15.57 $15.57
OVERHEAD EXPENSES
-------- --------
DOWNTIME 0.00 HR $0.00 $0.00
EMPLOYEE BENEFITS $1.03 $1.03
INSURANCE $0.11 $0.11
LAND TAXES $0.63 $0.63
SUPERVISION AND MANAGEMENT $15.38 $15.38
OTHER EXPENSES $34.51 $34.51
_________ ______ ______ _______ _______
SUBTOTAL 0.00 HR $34.63 $16.41 $0.63 $51.68
--------- ------- ------ ------ ------ ------ -------
TOTAL OPERATING EXPENSES 0.85 HR $152.70 $22.15 $63.34 $9.54 $25.26 $272.99
NET OPERATING PROFIT ($65.39)
INTEREST ON OPERATING CAPITAL ( $68.77 @ 9.00%) $6.19
INTEREST ON EQUIPMENT INVESTMENT $4.93
RETURN TO LAND AND RISK ($76.51)
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* Pump water costs are shown under irrigation in the preharvest operations section.
BUDGET SUMMARY
GROSS RETURN $207.60 VARIABLE OPERATING EXPENSES $225.58 RETURN OVER VARIABLE EXPENSES ($17.98) (GROSS MARGIN) FIXED EXPENSES $25.26 NET FARM INCOME ($43.24) (RETURN TO CAPITAL, LABOR, LAND & RISK) LABOR AND MANAGEMENT COST $22.15 NET OPERATING PROFIT ($65.39) (RETURN TO CAPITAL, LAND & RISK) CAPITAL COSTS $11.12 RETURN TO LAND AND RISK ($76.51) ===================================================================================================