Projections for Planning Purposes Only -- Not to be Used without Updating
2016 Estimated Costs and Returns per Acre
Sorghum Hay (2 Cuttings) - 100 Acres
Coastal Bend Extension District - 11
Crop Acres
100
REVENUE
Sorghum Hay
Total Revenue
Quantity
8.00
Units
Roll
$/Unit
$40.00
Cash
Total
$320.00
$320.00
VARIABLE COSTS
Production Costs
Seed
Sorghum Hay Seed
Fertilizer
30-20-40
Custom
Custom Spread Truck
Miscellaneous
Hay Wrap
Soil Test
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
Units
$/Unit
Total
FIXED COSTS
Machinery Depreciation
Tractors/Self-Propelled
Implements
Equipment Investment
Tractors/Self-Propelled
Implements
Land - Hay Meadow
Total Fixed Costs
Total Specified Costs
Quantity
Enterprise
Total
$32,000.00
$32,000.00
Enterprise
Total
45
Pound
$0.75
$33.75
$3,375.00
2
Acre
$43.60
$87.20
$8,720.00
2
Acre
$5.50
$11.00
$1,100.00
8
1
Bale
Acre
$1.43
$0.20
$11.44
$0.20
$1,144.00
$20.00
2.13
Hour
$19.50
$41.54
$4,153.50
12.16
Gallon
$2.10
$25.54
$2,553.60
Acre
Acre
$12.34
$10.62
4.25%
$12.34
$10.62
$3.41
$237.02
$82.98
$1,233.54
$1,061.88
$340.82
$23,702.35
$8,297.65
1
1
$29.63
Units
1
1
$90.69
$68.91
1
Roll
$/Unit
Total
Enterprise
Total
Acre
Acre
$11.64
$13.06
$11.64
$13.06
$1,164.14
$1,306.21
Dollars
Dollars
Acre
7.00%
7.00%
$25.00
$6.35
$4.82
$25.00
$60.88
$297.90
$634.83
$482.34
$2,500.00
$6,087.52
$29,789.87
$22.10
$2,210.13
Returns Above Specified Costs
Breakeven Price to Cover Total Costs
$37.24
Roll
Example Breakeven Prices
Example
Yield
Percent
75%
90%
100%
110%
125%
Example
Yield
Roll
6.00
7.20
8.00
8.80
10.00
Price Needed to Cover
Your Variable Costs
$39.50
$32.92
$29.63
$26.93
$23.70
Price Needed to Cover
Your Total Costs
$49.65
$41.37
$37.24
$33.85
$29.79
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.