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3 |
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2003 WHEAT-SOYBEAN DOUBLE CROP BUDGET 1,2 |
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ITEM |
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EXPLANATION |
PRICE PER |
YIELD (bu/A) |
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YOUR |
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UNIT |
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BUDGET |
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45 |
60 |
75 |
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| RECEIPTS 3 |
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Wheat (grain only) |
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$3.30 |
/bu |
$149 |
$198 |
$248 |
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Soybeans |
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20 |
bu |
5.00 |
/bu |
100 |
100 |
100 |
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| TOTAL
RECEIPTS |
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249 |
298 |
348 |
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| VARIABLE COSTS (WHEAT- GRAIN ONLY) |
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Seed |
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120 |
lbs |
0.20 |
/lb |
24 |
24 |
24 |
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Fertilizer 4 |
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N (lbs.) |
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30 |
60 |
80 |
0.24 |
/lb |
7 |
14 |
19 |
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P2O5(lbs) |
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50 |
60 |
70 |
0.24 |
/lb |
12 |
14 |
17 |
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K2O(lbs) |
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90 |
95 |
100 |
0.13 |
/lb |
12 |
12 |
13 |
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Lime(ton) |
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0.5 |
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12 |
/ton |
6 |
6 |
6 |
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Chemicals 5 |
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7 |
7 |
7 |
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Trucking - Fuel Only |
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0.03 |
/bu |
1 |
2 |
2 |
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Fuel, Oil, Grease 6 |
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3 |
3 |
3 |
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Repairs 7 |
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8 |
8 |
8 |
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Miscellaneous
8 |
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12 |
13 |
14 |
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Int. on Oper. Cap. 9 |
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8 |
mo. |
9% |
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5 |
6 |
7 |
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Hired Labor 10 |
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0 |
0 |
0 |
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| VARIABLE
COSTS (SOYBEANS) |
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Seed |
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80 |
lb. |
0.40 |
/lb |
32 |
32 |
32 |
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Chemicals 11 |
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18 |
18 |
18 |
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Trucking - Fuel Only |
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0.03 |
bu |
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1 |
1 |
1 |
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Fuel, Oil, Grease 6 |
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3 |
3 |
3 |
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Repairs 7 |
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8 |
8 |
8 |
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Int. on Oper. Cap. 12 |
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5 |
mo. |
9.0% |
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2 |
2 |
2 |
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Hired Labor 10 |
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0 |
0 |
0 |
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| TOTAL
VARIABLE COSTS |
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-Per Acre |
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160 |
172 |
182 |
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| FIXED
COSTS |
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Labor Charge
10 |
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3.5 |
hours |
9.00 |
/hr |
32 |
32 |
32 |
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Mach. And Equip. Charge 13 |
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49 |
49 |
49 |
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Land Charge 14 |
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50 |
70 |
90 |
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Management Charge |
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5% |
of gross revenue |
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12 |
15 |
17 |
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| TOTAL
FIXED COSTS |
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143 |
166 |
188 |
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| TOTAL
COSTS |
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-Per Acre |
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303 |
338 |
370 |
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| RETURN
ABOVE VARIABLE COSTS |
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89 |
126 |
166 |
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| RETURN
ABOVE TOTAL COSTS |
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(54) |
(40) |
(22) |
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| RETURN
TO LABOR AND MANAGEMENT 15 |
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(10) |
7
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26
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4 |
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| 1 |
Does not include costs of storage. |
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| 2 |
Early
harvest and drying of wheat followed closely by soybean planting with
adequate soil moisture |
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for germination are critical for
successful double crop. Soybeans are
assumed to be Round-Up Ready. |
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| 3 |
Price
received is estimated government loan rate for soybeans and wheat in
Ohio. Loan rates vary by county, |
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check with your local FSA
office for rates in your county. No
other government payments are included. |
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No returns are shown for straw. |
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| 4 |
Assumes
only maintenance application of fertilizer for wheat and soybeans, soil test
values of 20 ppm P/A and 150 ppm K/A. |
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Prices were quoted in October,
2002. Fertilizer prices vary over time
and by area. Check with local sources
for current prices. |
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| 5 |
Based on use of 2,4-D and Banvel.
Additional treatments may be needed to eliminate phytopora damping off. |
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See table below for
specific calculations. Lubrication costs are assumed to be 15% of fuel costs. |
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| 7 |
See table below for
specific calculations. |
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| 8 |
Includes
supplies, utilities, soil tests, small tools, crop insurance, etc… |
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| 9 |
Interest
on all variable costs, except drying and trucking, for 8 months at 9%
interest rate. |
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| 10 |
Part
or all of labor may be a variable cost if paid labor varies with acres
farmed. |
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It's
a fixed cost if labor costs do not change with acres farmed. |
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| 11 |
Based on use of Roundup and Select. |
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| 12 |
Interest
on all variable costs, except drying and trucking, for 5 months at 9%
interest rate. |
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| 13 |
Reflects 1000 acres. See
table below for specific calculations. |
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| 14 |
Average based on 1999 data. Land charges vary throughout the state,
check your local rates. |
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| 15 |
Return to labor and
management is the revenue less total expenses except operator labor and
management. |
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It is a measure of the
returns to the operator's labor and management. |
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| Machinery
Inventory |
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Number times used |
Cost |
Acres/ Hr |
Fuel* ($/A) |
Repairs ($/A) |
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50 ft. Boom Sprayer |
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2 |
$5,500 |
25.6 |
0.22 |
0.20 |
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15 Ft Grain Drill |
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2 |
$26,800 |
12.0 |
1.62 |
2.86 |
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Combine w/ 20' head |
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2 |
$141,000 |
12.7 |
2.62 |
6.76 |
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Gravity Grain Wagons |
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2 |
$7,000 |
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1.20 |
0.84 |
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Fertilizer Spreader |
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1 |
$10,400 |
23.80 |
0.11 |
0.23 |
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160 HP Tractor |
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$94,200 |
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3.84 |
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75 HP Tractor |
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$30,300 |
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1.14 |
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Pickup Truck (1/2) |
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$12,500 |
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0.10 |
0.05 |
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Total per Acre |
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327,700 |
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5.87 |
15.92 |
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Fixed Costs Rate |
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15% |
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Mach. And Equip Charge = |
$49 |
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Price of Diesel Fuel = |
$1.00 |
/gal |
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| Machinery
and Equipment Charge = Total Machine Inventory Cost x Fixed Costs Rate / 1000 acres |
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=$327,700 x 15% / 1000 acres
= $50/acre |
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| Machines
are all assumed to be new and in the first year of use. Older/used machines will likely have
lower |
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machinery
costs. Size of operation will also
effect cost of machinery per acre. For
an analysis on machine |
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costs for different sized
operations, see economies of scale budgets in this publication |
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| Fixed costs
rate includes depreciation, interest, housing, and insurance. |
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| *Fuel
calculations are based on the implement plus tractor. |
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