TABLE 4. Grain sorghum, dryland, budgeted per acre costs and returns for a 1,600 acre farm with above average management, Curry County, 2001. Planting Dates: May 15 - June 20 Harvesting Dates: October 15 - November 15 --------------------------------------------------------------------------------------------------------------------- ITEM PRICE YIELD TOTAL --------------------------------------------------------------------------------------------------------------------- GROSS RETURNS GRAIN SORGHUM $3.00 18 CWT $54.00 ASCS DEFICIENCY $0.55 18 CWT $9.90 ASCS DIVERSION $0.00 0 CWT $0.00 GRAZING $4.00 1 ACRE $4.00 _______ TOTAL $67.90 --------------------------------------------------------------------------------------------------------------------- PURCHASED PURCHASED INPUTS PRICE QUANTITY INPUTS TOTAL --------- ------ --------------- ----------- -------- ------- SEED $1.04 2 LBS $1.56 $1.56 ANHYDROUS $0.2000 50 LBS $10.00 $10.00 HERBICIDE $12.60 1 X/ACRE $12.60 $12.60 INSECTICIDE $12.60 1 X/ACRE $12.60 $12.60 CROP INSURANCE $0.11 $0.11 $0.11 SUBTOTAL $36.88 $36.88 POWER ACCOMPLISHMENT PURCHASED FUEL FIXED PREHARVEST OPERATIONS UNIT RATE INPUTS LABOR &OIL REPAIRS COST TOTAL ---------- ---------- -------------- ----------- --------- ----- ----- ------- ----- ----- SWEEP (2X) 300 HP 0.10 HR $0.76 $2.44 $0.91 $4.36 $8.47 ROD WEEDER 300 HP 0.05 HR $0.38 $1.22 $0.30 $1.89 $3.79 ANHYDROUS APPL 155 HP 0.17 HR $1.28 $2.14 $0.62 $3.49 $7.54 DRILL 155 HP 0.05 HR $0.38 $0.63 $0.89 $2.55 $4.44 ROTARY HOE 155 HP 0.05 HR $0.38 $0.63 $0.26 $1.62 $2.89 CULTIVATOR 155 HP 0.13 HR $0.98 $1.64 $0.73 $3.61 $6.96 _________ _______ _______ _______ _______ _______ SUBTOTAL 0.55 HR $4.15 $8.70 $3.70 $17.53 $34.09 HARVEST OPERATIONS ------- ---------- COMBINE (CUSTOM) $9.67 $9.67 HAUL (CUSTOM) $3.42 $3.42 _________ _______ SUBTOTAL $13.09 $13.09 OVERHEAD EXPENSES -------- -------- DOWNTIME 0.10 HR $0.76 $0.76 EMPLOYEE BENEFITS $0.75 $0.75 INSURANCE $0.08 $0.08 LAND TAXES $0.31 $0.31 SUPERVISION AND MANAGEMENT $5.03 $5.03 OTHER EXPENSES $15.05 $15.05 _________ _______ _______ _______ _______ SUBTOTAL 0.10 HR $15.13 $6.53 $0.31 $21.97 --------- ------- ------- ------- ------- ------- ------- TOTAL OPERATING EXPENSES 0.65 HR $65.10 $10.68 $8.70 $3.70 $17.83 $106.02 NET OPERATING PROFIT ($38.12) INTEREST ON OPERATING CAPITAL ( $22.63 @ 9.00%) $2.04 INTEREST ON EQUIPMENT INVESTMENT $10.87 RETURN TO LAND AND RISK ($51.04) ===================================================================================================================== BUDGET SUMMARY GROSS RETURN $67.90 VARIABLE OPERATING EXPENSES $77.51 RETURN OVER VARIABLE EXPENSES ($9.61) (GROSS MARGIN) FIXED EXPENSES $17.83 NET FARM INCOME ($27.44) (RETURN TO CAPITAL, LABOR, LAND & RISK) LABOR AND MANAGEMENT COST $10.68 NET OPERATING PROFIT ($38.12) (RETURN TO CAPITAL, LAND & RISK) CAPITAL COSTS $12.91 RETURN TO LAND AND RISK ($51.04) ===================================================================================================