wfb2005 - The Whole Farm Budget Final Table(s) in the Farm...

Info iconThis preview shows pages 1–8. Sign up to view the full content.

View Full Document Right Arrow Icon
The Whole Farm Budget Final Table(s) in the Farm Plan
Background image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
Steps Develop Enterprise Budgets Develop the Whole Farm Plan (LP) Use LP results, Enterprise Budgets, and estimates of next year's fixed costs to make the whole farm budget.
Background image of page 2
Cash Variable Costs SEED (CERTIFIED) 4,303.50 Technology fee 608.00 NITROGEN 3,420.00 PHOSPHATE 1,504.80 POTASH 1,026.00 LIME (PRORATED) 1,269.68 HERBICIDES 3,560.00 INSECTICIDES 1,415.50 HAULING 1,340.00 AERIAL APPLICATION 228.00 TRACTOR/MACHINERY 2,890.00 6,500.00 PASTURE VAR COSTS 7,500.00 FEED SUPPL 6,700.00 SALT/MIN 906.00 BULL REP 800.00 VET MED 2,300.00 HAY 6,890.00 HAULING CATTLE 128.59 INTEREST 2,664.50 Total Variable Costs 55,954.57 Fixed Costs Rent 6000 Property Taxes 980 Utilities 230 Insurance 1100 Fixed Interest 1360 Total Fixed Costs 9670 Total Cash Costs 65,624.57 Table 6 contains information on cash fixed costs. In the absence of better information, use last year’s fixed costs to project next year’s fixed cost. Also, you can assume your depreciation for the next year is the same as last year’s.
Background image of page 3

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
Find the Variable Costs for WFB Use your enterprise levels from the whole farm plan, plus the variable costs from the enterprise budgets. Example:
Background image of page 4
corn soy cattle type rhs used OBJ 57.4 35.52 211.99 14173.54 land 1 1 le 300 300.00 pasture 0 0 90 le 100 100.00 rot lim 1 -1 0 le 0 0.00 lab1 0 0 221 le 500 245.56 lab2 1.3 0.5 128 le 500 412.22 lab3 0.4 1.7 102 le 500 428.33 lab4 0 0 69 le 500 76.67 lab5 0.5 0.5 72 le 500 230.00 lab6 0 0 147 le 500 163.33 Answers 150 150 1.111111 Our old LP with a rotation constrain (rot lim) to keep corn acreage less than or equal to soybean acreage. New solution 150 acres corn, 150 acres soybeans, 1.111 units of cow-calf.
Background image of page 5

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
Making Variable Cost Table Make a row with the enterprises to be produced, plus “total” and “modified” Get LP “answers” and fill in the next row with correct enterprise levels Make a column of all types of variable costs you see in the enterprise budgets Fill in values for each crop, by copying the numbers from the right enterprise budget
Background image of page 6
Corn Soy Cattle Total Modified 150.00 150.00 1.11 SEED (CERTIFIED) TECHNOLOGU FERTILIZER NITROGEN PHOSPHATE POTASH LIME (PRORATED) HERBICIDES INSECTICIDES HAULING AERIAL APPL TRACTOR/MACHINERY GRASS PASTURE HAY PURCHASED SUPPLEMENTS - COWHERD BACKGROUNDING FEED CUSTOM HAULING
Background image of page 7

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
Image of page 8
This is the end of the preview. Sign up to access the rest of the document.

This note was uploaded on 11/15/2011 for the course AGEC 7100 taught by Professor Duffy,p during the Fall '08 term at Auburn University.

Page1 / 22

wfb2005 - The Whole Farm Budget Final Table(s) in the Farm...

This preview shows document pages 1 - 8. Sign up to view the full document.

View Full Document Right Arrow Icon
Ask a homework question - tutors are online