Projections for Planning Purposes Only -- Not to be Used without Updating
2013 Estimated Costs and Returns per Animal Unit
Commercial Sheep, Wool/Lamb Production, 5 hd per AU
500 Ewes
West Central Extension District - 7
Breeding Females
REVENUE
Lambs
Cull Ewes
Cull Rams
Wool, 20.6-22.0 Mic
Total Revenue
VARIABLE COSTS
Production Costs
Miscellaneous
Supplies
Predator Control
Brush Control
PRF Rainfall Ins
Sales Commission - Ewe & Ram
Sales Commission - Lamb
Purchased Feed
S&G Corn
S&G Cotton Seed
Salt
Mineral
Vet. Medicine
Fuel
Lube (As a % of fuel)
Repairs
Labor
Day Labor
Custom Hire-Shearing
Utilities
Interest on Credit Line
Total Variable Costs
500
Head
3.000
1.000
0.050
5.000
Units
CWT
CWT
CWT
Lbs
$/Unit
$145.00
$68.00
$68.00
$4.60
Quantity
Units
$/Unit
Total
AU
AU
Ac
Ac
Head
Head
$15.00
$10.50
$1.00
$0.85
$3.95
$3.95
$15.00
$10.50
$30.00
$25.50
$4.15
$11.85
$7,500.00
$5,250.00
$15,000.00
$12,750.00
$414.75
$5,925.00
lb
lb
lb
lb
Head
Head
Percent
Head
$0.22
$0.23
$0.11
$0.49
$8.77
$78.30
$7.83
$52.32
$29.70
$69.00
$5.94
$26.46
$8.77
$78.30
$7.83
$52.32
$14,850.00
$34,500.00
$2,970.00
$13,230.00
$4,387.20
$39,150.00
$3,915.00
$26,162.47
Hours
hd
hd
$15.00
$4.50
$24.00
4.75%
$9.00
$22.50
$24.00
$9.29
$440.12
$900.00
$0.00
$600.00
$4,644.30
$192,148.72
$167.71
CWT
$111,766.28
1
1
30
30
1.05
3
135
300
54
54
1
1.0
10.0%
1
0.60
5.00
1.00
Planned Returns Above Variable Costs:
Average Lamb Breakeven Price to Cover Variable Costs
FIXED COSTS
Quantity
Depreciation - Equipment
1
Depreciation - Livestock
1
Equipment Investment
$2,258.88
Insurance
1
Native Pasture Rent
30
Total Fixed Costs
Total Costs
Planned Returns to Management, Risk, and Profit:
Average Lamb Breakeven Price to Cover Total Costs
$70.46
Units
Head
Head
dollars
Head
Acres
$/Unit
$71.90
$15.00
0.00%
$5.56
$3.00
$151.55
Total
$326.25
$91.80
$5.78
$184.00
$607.83
Enterprise
Total
$163,125.00 Your values in Columns E, G, J, L, N
$45,900.00
$2,890.00
$92,000.00
$303,915.00
Enterprise
Total
Quantity
0.75
1.35
1.70
8.00
Enterprise
Total
Total
$71.90
$35,950.89
$15.00
$7,500.00
$0.00
$0.00
$5.56
$2,780.00
$90.00
$45,000.00
$182.46
$91,230.89
$622.58 $283,379.61
($14.75)
$20,535.39
CWT
Sensitivity Analysis
Weaning Percent
110%
95%
80%
65%
50%
Gross Lbs of Lamb Breakeven Lamb Pay
Sales per Produced
Weight to Cover Total
Ewe
per Ewe
Cost
$154.19
95
52
$137.88
83
63
$121.57
72
78
$105.25
61
105
$88.94
50
157
Break Even Lamb Price to
Cover Total Cost
$101.04
$121.24
$151.55
$202.07
$303.11
Developed by Bill Thompson, Assistant Professor and Extension Economist, Texas A&M AgriLife Extension.
Information presented is prepared solely as a general guide and not intended to recognize or
predict the costs and returns from any one operation.
Your values in Columns E, G, J, L, N