TABLE 5. Corn for grain, flood-irrigated, budgeted per acre costs and returns for a 320 acre farm
         with above average management, Portales Valley, Roosevelt County, 2001.
              Planting Dates:  April 15 - May 15
              Harvest Dates: November 1 - November 30
-----------------------------------------------------------------------------------------------------------------------
         ITEM                  PRICE              YIELD                                                           TOTAL
-----------------------------------------------------------------------------------------------------------------------
GROSS RETURNS
    CORN FOR GRAIN            $3.57              65.00  CWT                                                    $232.05
    ASCS DEFICIENCY           $0.46              65.00  CWT                                                     $29.90
    ASCS DIVERSION            $0.00               0.00  CWT                                                      $0.00
    GRAZING                  $15.00               1.00  ACRE                                                    $15.00
                                                                                                               _______
         TOTAL                                                                                                 $276.95
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                                                                PURCHASED
PURCHASED INPUTS               PRICE             QUANTITY         INPUTS                                          TOTAL
--------- ------              -----             ------------      ------                                        ------
    SEED                      $0.98                 28  000        $27.48                                       $27.48
    NITROGEN (N)              $0.42                150  LBS        $63.00                                       $63.00
    PHOSPHATE (P205)          $0.39                 60  LBS        $23.40                                       $23.40
    HERBICIDE                $15.14                  1  X/ACRE     $15.14                                       $15.14
    INSECTICIDE (CUSTOM)     $16.17                  2  X/ACRE     $32.33                                       $32.33
    PUMP WATER*                                     38  AC. IN.
   CROP INSURANCE             $0.98                                 $0.98                                        $0.98
         SUBTOTAL                                                 $162.33                                      $162.33
 
                               POWER         ACCOMPLISHHMENT    PURCHASED              FUEL,             FIXED
PREHARVEST OPERATIONS           UNIT               RATE             INPUTS    LABOR     LUBE  REPAIRS     COST    TOTAL
---------- ----------      --------------      ------------     ----------   -----    -----   -------   -----   ------
    DISC                   185 HP                 0.14  HR                   $1.06    $2.03    $2.13    $2.69    $7.91
    PLOW                   185 HP                 0.48  HR                   $3.62    $6.97    $7.55    $9.31   $27.46
    DISC                   185 HP                 0.14  HR                   $1.06    $2.03    $2.13    $2.69    $7.91
    FERT SPREADER          126 HP                 0.05  HR                   $0.38    $0.45    $0.23    $0.14    $1.20
    SPRAY & DISC           185 HP                 0.17  HR                   $1.28    $2.47    $2.99    $4.11   $10.86
    LISTER                 126 HP                 0.12  HR                   $0.91    $1.08    $0.74    $1.37    $4.09
    TRACK                  126 HP                 0.40  HR                   $3.02    $3.59    $1.84    $1.13    $9.58
    PRE-IRRIGATE                                  0.75  HR                   $5.66    $9.92    $1.43    $6.09   $23.10
    ROD WEED               185 HP                 0.08  HR                   $0.60    $1.16    $1.12    $1.53    $4.42
    PLANTER                185 HP                 0.17  HR                   $1.28    $2.47    $3.45    $6.43   $13.63
    CULTIVATOR (2X)        126 HP                 0.26  HR                   $1.96    $2.34    $1.60    $2.25    $8.15
    IRRIGATE (5X)                                 2.50  HR                  $16.88   $49.58    $7.17   $30.47  $104.09
                                                __________                  ______   ______   ______   ______  _______
         SUBTOTAL                                 5.26  HR                  $37.71   $84.09   $32.36   $68.23  $222.40
 
HARVEST OPERATIONS
------- ----------
    COMBINE (CUSTOM)                                               $22.75                                       $22.75
    HAUL (CUSTOM)                                                  $11.70                                       $11.70
                                                                  ______                                        ______
         SUBTOTAL                                                  $34.45                                       $34.45
 
OVERHEAD EXPENSES
-------- --------
    DOWNTIME                                      0.36  HR                   $2.70                               $2.70
    EMPLOYEE BENEFITS                                                        $6.79                               $6.79
    INSURANCE                                                       $0.75                                        $0.75
    LAND TAXES                                                                                          $0.63    $0.63
    SUPERVISION AND MANAGEMENT                                              $22.73                              $22.73
    OTHER EXPENSES                                                 $64.84                                       $64.84
                                                __________        ______    ______                     _______  _______
         SUBTOTAL                                 0.36  HR         $65.60   $32.22                      $0.63   $98.45
                                                ----------       -------    ------   ------   ------   ------  -------
TOTAL OPERATING EXPENSES                          5.62  HR        $262.37   $69.93   $84.09   $32.36   $68.86  $517.62
 
NET OPERATING PROFIT                                                                                          ($240.67)
 
    INTEREST ON OPERATING CAPITAL           (  $113.15     @         9.00%)                                     $10.18
    INTEREST ON EQUIPMENT INVESTMENT                                                                            $24.45
 
RETURN TO LAND AND RISK                                                                                       ($275.31)
=======================================================================================================================
    * Pump water costs are shown under irrigation in the preharvest operations section.
                                         BUDGET SUMMARY
 
GROSS RETURN                                   $276.95
  VARIABLE OPERATING EXPENSES        $378.83
RETURN OVER VARIABLE EXPENSES                 ($101.88)    (GROSS MARGIN)
  FIXED EXPENSES                      $68.86
NET FARM INCOME                               ($170.74)    (RETURN TO CAPITAL, LABOR, LAND & RISK)
  LABOR AND MANAGEMENT COST           $69.93
NET OPERATING PROFIT                          ($240.67)    (RETURN TO CAPITAL, LAND & RISK)
  CAPITAL COSTS                       $34.64
RETURN TO LAND AND RISK                       ($275.31)
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