TABLE 7. Permanent pasture, flood-irrigated, budgeted per acre costs and returns for a 20 acre part-time farm,
         San Juan County, 2001.
              Harvesting dates: Year Round
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         ITEM                  PRICE             YIELD                                                          TOTAL
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GROSS RETURNS
    PASTURE                  $12.00              7.00  AUMS                                                   $84.00
                                                                                                              ______
         TOTAL                                                                                                $84.00
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                                                               PURCHASED                               FIXED
PURCHASED INPUTS               PRICE             QUANTITY        INPUTS                                 COST    TOTAL
--------- ------              -----             -----------      ------                              ------   ------
    NITROGEN (N)              $0.42               100  LBS       $42.00                                       $42.00
 
    ESTABLISHMENT: Principal                       20  YEARS                                          $9.05    $9.05
                 : Interest                                                                           $8.28    $8.28
    CANAL WATER                                    62  AC. IN.                                       $55.54   $55.54
    CANAL WATER  (MAINTENANCE)                      1  ACRE                                           $8.00    $8.00
                                                                 ______                              ______   ______
         SUBTOTAL                                                $42.00                              $80.87  $122.87
 
                               POWER         ACCOMPLISHMENT    PURCHASED              FUEL             FIXED
PREHARVEST OPERATIONS           UNIT              RATE            INPUTS    LABOR   & LUBE  REPAIRS     COST    TOTAL
---------- ----------      --------------      -----------     ---------   -----    -----   -------   -----    -----
    FERTILIZE              65 HP                 0.05  HR                  $0.34    $0.33    $0.01    $0.22    $0.90
    CORRUGATE              65 HP                 0.41  HR                  $2.77    $2.69    $0.10    $2.81    $8.38
    DITCHER                65 HP                 0.10  HR                  $0.68    $0.66    $0.02    $0.44    $1.80
    IRRIGATE (11X)                               5.50  HR                 $35.48                              $35.48
                                                _________                 ______   ______   ______   ______   ______
         SUBTOTAL                                6.06  HR                 $39.26    $3.68    $0.14    $3.48   $46.55
 
OVERHEAD EXPENSES
-------- --------
    DOWNTIME                                     0.14  HR                  $0.95                               $0.95
    EMPLOYEE BENEFITS                                                      $4.71                               $4.71
    INSURANCE                                                     $0.47                                        $0.47
    LAND TAXES                                                                                        $2.04    $2.04
    SUPERVISION AND MANAGEMENT                                             $9.14                               $9.14
    OTHER EXPENSES                                              $122.80                                      $122.80
                                                _________        ______   ______                     ______   ______
         SUBTOTAL                                0.14  HR       $123.28   $14.80                      $2.04  $140.11
                                                ---------        ------   ------   ------   ------   ------  -------
TOTAL OPERATING EXPENSES                         6.20  HR       $165.28   $54.05    $3.68    $0.14   $86.39  $309.53
 
NET OPERATING PROFIT                                                                                        ($225.53)
 
    INTEREST ON OPERATING CAPITAL           (  $21.95     @        9.00%)                                      $1.98
    INTEREST ON EQUIPMENT INVESTMENT                                                                           $4.67
 
RETURN TO LAND AND RISK                                                                                     ($232.17)
=====================================================================================================================
                                         BUDGET SUMMARY
 
GROSS RETURN                                   $84.00
  VARIABLE OPERATING EXPENSES        $169.09
RETURN OVER VARIABLE EXPENSES                 ($85.09)    (GROSS MARGIN)
  FIXED EXPENSES                      $86.39
NET FARM INCOME                              ($171.48)    (RETURN TO CAPITAL, LABOR, LAND & RISK)
  LABOR AND MANAGEMENT COST           $54.05
NET OPERATING PROFIT                         ($225.53)    (RETURN TO CAPITAL, LAND & RISK)
  CAPITAL COSTS                        $6.64
RETURN TO LAND AND RISK                      ($232.17)
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