TABLE 5. Wheat, dryland, budgeted per acre costs and returns for a 1,280 acre farm with above average
management, Causey-Lingo area, Roosevelt County, 2001.
Planting dates: August 15 - September 15
Harvesting dates: June 1 - June 25
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ITEM PRICE YIELD TOTAL
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GROSS RETURNS
WHEAT $3.00 18.00 BUSHELS $54.00
ASCS DEFICIENCY $0.46 18.00 BUSHELS $8.28
ASCS DIVERSION $0.00 $0.00
GRAZING $10.00 1.00 ACRE $10.00
_______
TOTAL $72.28
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PURCHASED
PURCHASED INPUTS PRICE QUANTITY INPUTS TOTAL
--------- ------ ------ ----------- ------- ------
SEED $0.11 30 LB $3.30 $3.30
CROP INSURANCE $0.14 $0.14 $0.14
$3.44 $3.44
POWER ACCOMPLISHMENT PURCHASED FUEL FIXED
PREHARVEST OPERATIONS UNIT RATE INPUTS LABOR &OIL REPAIRS COST TOTAL
---------- ---------- -------------- ----------- --------- ----- ----- ------- ----- -----
STUBBLE MULCH 165 HP 0.10 HR $0.76 $1.16 $1.20 $2.41 $5.52
DISC 165 HP 0.11 HR $0.83 $1.27 $1.35 $2.09 $5.54
RODWEED 165 HP 0.05 HR $0.38 $0.58 $0.44 $0.70 $2.10
DRILL 93 HP 0.05 HR $0.38 $0.47 $0.46 $4.46 $5.77
_________ ______ ______ ______ ______ _______
SUBTOTAL 0.31 HR $2.34 $3.47 $3.46 $9.66 $18.93
HARVEST OPERATIONS
------- ----------
COMBINE 0.14 HR $1.06 $1.52 $2.49 $11.74 $16.81
HAUL 2 TON 0.14 HR $1.06 $1.25 $0.00 $0.88 $3.19
_________ ______ ______ ______ ______ _______
SUBTOTAL 0.28 HR $2.11 $2.76 $2.49 $12.62 $19.99
OVERHEAD EXPENSES
-------- --------
DOWNTIME 0.10 HR $0.76 $0.76
EMPLOYEE BENEFITS $0.80 $0.80
INSURANCE $0.09 $0.09
LAND TAXES $0.12 $0.12
SUPERVISION AND MANAGEMENT $5.21 $5.21
OTHER EXPENSES $16.61 $16.61
_________ ______ ______ ______ ______
SUBTOTAL 0.10 HR $16.70 $6.77 $0.12 $23.59
--------- ------- ------- ------- ------- ------- -------
TOTAL OPERATING EXPENSES 0.41 HR $20.00 $11.23 $6.24 $5.95 $22.41 $65.82
NET OPERATING PROFIT $6.46
INTEREST ON OPERATING CAPITAL ( $3.82 @ 9.00%) $0.34
INTEREST ON EQUIPMENT INVESTMENT $13.40
RETURN TO LAND AND RISK ($7.28)
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BUDGET SUMMARY
GROSS RETURN $72.28 VARIABLE OPERATING EXPENSES $32.19 RETURN OVER VARIABLE EXPENSES $40.09 (GROSS MARGIN) FIXED EXPENSES $22.41 NET FARM INCOME $17.69 (RETURN TO CAPITAL, LABOR, LAND & RISK) LABOR AND MANAGEMENT COST $11.23 NET OPERATING PROFIT $6.46 (RETURN TO CAPITAL, LAND & RISK) CAPITAL COSTS $13.74 RETURN TO LAND AND RISK ($7.28) ===================================================================================================