Projections for Planning Purposes Only -- Not to be Used without Updating 2015 Estimated Costs and Returns per Acre Soft Red Winter Wheat, 45 bu. Yield Goal - 500 Acres Upper Coastal Bend Extension District - 11 Crop Acres 500 REVENUE Soft Red Wheat Total Revenue Quantity 45.00 VARIABLE COSTS Production Costs Seed Soft Red Wheat Fertilizer 18-18-18 46-0-0 Custom Fertilizer Application UC Apply by Air Custom Grain Haul Miscellaneous Crop Insurance -Wheat UC Hand Labor G&A Overhead Herbicide Wheat PostEmerge Herbicide Machinery Labor Tractors/Self-Propelled Diesel Fuel Tractors/Self-Propelled Repairs & Maintenance Tractors/Self-Propelled Implements Interest on Credit Line Total Variable Costs Planned Returns Above Variable Costs: Breakeven Price to Cover Variable Costs Quantity FIXED COSTS Machinery Depreciation Tractors/Self-Propelled Implements Equipment Investment Tractors/Self-Propelled Implements Management Fee, Owner/Operator Labor UCB - Land Charge Total Fixed Costs Total Specified Costs Quantity Units Bushel Units $/Unit $5.65 Total $254.25 $254.25 $/Unit Total 90 Pound $0.34 $30.60 $15,300.00 159 100 Pounds Pounds $0.23 $0.23 $35.78 $23.00 $17,887.50 $11,500.00 2 1 27 Acre Acre CWT $5.50 $6.00 $0.30 $11.00 $6.00 $8.10 $5,500.00 $3,000.00 $4,050.00 1 0.0833 1 Acre Hour Acre $16.50 $13.75 $10.50 $16.50 $1.15 $10.50 $8,250.00 $572.69 $5,250.00 0.5 Ounce $10.43 $5.22 $2,607.50 0.65 Hour $19.50 $12.68 $6,337.50 7.08 Gallon $3.30 $23.36 $11,682.00 Acre Acre $20.64 $11.76 5.00% $10,321.58 $5,878.82 $3,045.70 $111,183.29 $15,941.71 $4.94 $20.64 $11.76 $6.09 $222.37 $31.88 Bushel $/Unit Total 1 1 Units 1 1 $224.79 $131.30 1 1 Enterprise Total Acre Acre $19.81 $14.14 $19.81 $14.14 $9,903.33 $7,070.89 Dollars Dollars Acre Acre 7.00% 7.00% $12.71 $85.00 $15.74 $9.19 $12.71 $85.00 $156.59 $378.95 $7,867.60 $4,595.57 $6,356.25 $42,500.00 $78,293.64 $189,476.93 ($124.70) ($62,351.93) Returns Above Specified Costs Breakeven Price to Cover Total Costs Enterprise Total $127,125.00 $127,125.00 Enterprise Total $8.42 Bushel Example Breakeven Prices Example Yield Percent 75% 90% 100% 110% 125% Example Yield Bushel 33.75 40.50 45.00 49.50 56.25 Price Needed to Cover Price Needed to Cover Example Variable Costs Example Total Costs Own/Rent ShareTenant Own/Rent ShareTenant $6.59 $6.59 $11.23 $11.23 $5.49 $5.49 $9.36 $9.36 $4.94 $4.94 $8.42 $8.42 $4.49 $4.49 $7.66 $7.66 $3.95 $3.95 $6.74 $6.74 Landlord $0.00 $0.00 $0.00 $0.00 $0.00 Developed by Levi Russell, Assistant Professor and Extension Economist, Texas A&M AgriLife Extension Service. Information presented is prepared solely as a general guide and not intended to recognize or predict the costs and returns from any one operation. Brand names are mentioned only as examples and imply no endorsement.