Total PRODUCTION Units Price Quantity $/Acre Pecans Lbs. $ $ 1, Other Income Acre $ - Total Receipts $ 1,160.00
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1 Irrigated Improved Pecan Enterprise Budget 40 acres farmed. Total PRODUCTION Units Price Quantity $/Acre Pecans Lbs. $ $ 1, Other Income Acre 0 Total Receipts $ 1, OPERATING INPUTS Units Price Quantity $/Acre Fertilizer Acre $ $ Custom Harvest Acre $ $ Disease Control Acre $ $ Insect Control Acre $ $ Weed Control Acre $ $ Pruning Labor Hrs. $ $ 8.25 Thinning Labor Hrs. $ $ 6.19 Harvest Labor Hrs. $ Cleaning Labor Hrs. $ Post-Harvest/Marketing Acre $ $ Annual Operating Capital Dollars 8.50% $ Machinery Labor Hrs. $ $ Irrigation Labor Hrs. $ $ 1.98 Custom Hire Acre 0 Machinery Fuel, Lube, Repair Acre $ $ Irrigation Fuel, Lube, Repair Acre $ $ Other Expense Acre 0 Total Operating Costs $ 1, Returns Above Total Operating Costs $ FIXED COSTS Units Rate $/Acre Establishment Acre $ 4, $ Machinery/Irrigation $/value Interest at Dollars 8.00% $ Taxes at Dollars 1.00% $ Insurance Dollars 0.60% $ 9.89 Depreciation Dollars $ Land $/acre Interest at Dollars 0.00% Taxes at Dollars 0.00% Total Fixed Costs $ Total Costs (Operating + Fixed) $ 1, Returns Above All Specified Costs $ (436.31) Pittsburg County - Southeast OK Owned equipment Owner-Operator Break-Even (B-E) Analysis B-E Yield at $/lb B-E Price at lb./acre 1000 Above Operating Costs (Lbs.) 953 Above Operating Costs $ 1.11 Above Total Costs (Lbs.) 1376 Above Total Costs $ 1.60 File name: ImprovedPecans OSU Agricultural Economics Enterprise Budget Software 6/16/2008-9:49 AM
2 You can specify the yield and price for your enterprise or use the default for the area you selected. To view average prices, click on the link below. Improved Area Yield Price Harvest Sales Weighted Pecans Lbs./acre ($/Lb.) Month Information Ave Price Default State 1,000 $ $ 1.16 Month(s) Your Value $ 1.16 File name: ImprovedPecans OSU Agricultural Economics Enterprise Budget Software 6/16/2008-9:50 AM
3 Since improved pecans are a multi-year crop, establishment costs will need to be allocated (averaged) over the expected productive life in years. Below is a cost summary representing several basic cultural practices for the years prior to orchard production. You may use the specified costs or make changes by clicking on the production input in question. Pre-Plant Year Summary Fertilizer Lime Seed Diseases Insects Weeds N/A N/A N/A Other Labor Custom Hire Machinery Irrigation Other Expense Operating Interest Total cash cost/acre Total cost/acre Per Acre Establishment Year Per Acre Pre-Production Year Per Acre Cost Summary Cost Summary Cost $ Fertilizer $ 6.06 Fertilizer $ N/A N/A $ Trees $ N/A Diseases Diseases $ Insects $ Insects $ $ Weeds $ Weeds $ Planting Labor $ 8.25 N/A Broadcast Labor $ 4.13 Broadcast Labor $ 8.25 Pruning Labor $ 8.25 Pruning Labor $ $ Other Labor Other Labor Custom Hire Custom Hire $ Machinery $ Machinery $ Irrigation $ Irrigation $ Other Expense Other Expense $ Operating Interest $ Operating Interest $ $ Total cash cost/acre $ Total cash cost/acre $ $ Total cost/acre $ Total cost/acre $ Total accumulated Total accumulated cost/acre $ 1, cost/acre $ 4, For additional information, see: HLA-6200 A Calendar for Pecan Growers HLA-6201 Pecan Varieties for Oklahoma HLA-6204 Bark-Grafting Pecans HLA-6207 Starting Pecan Trees HLA-6217 Collecting and Storing Pecan Propagation Wood HLA-6230 Four-Flap Grafting of Pecans HLA-6245 Training Pecan Trees HLA-6247 Establishing a Pecan Orchard HLA-6250 Use of Legumes in Pecan Orchards Prorated cost/acre $ View these and other OSU Publications at: OSU Fact Sheets File name: ImprovedPecans OSU Agricultural Economics Enterprise Budget Software 6/16/2008-9:50 AM
4 A default fertilizer application has been specified but can be modified to match your operation. Double-click anywhere in the fertilizer table yellow cells for a pop-up screen with fertilizer information. Adjust the fertilizer mixes and amounts to approximately meet the nitrogen (N), phosphorus (P), and potassium (K) requirements. Month to Lbs. Applied Acreage Percent Percent Percent Price Custom App. Fertilizer Fertilizer Apply per Acre Applied N P K per Ton Charge Price/Lb. Ammonium Nitrate % 0% 0% $ $ Ammonium Nitrate % 0% 0% $ $ Pounds/acre applied Pounds of N/acre present per test results Estimated pounds N, P and K required Fertilizer cost/budget acre Prorated lime cost/budget acre Total cost/budget acre Custom application cost/budget acre $ $ File name: ImprovedPecans OSU Agricultural Economics Enterprise Budget Software 6/16/2008-9:50 AM
5 If custom harvest is to be used, you need to specify the costs. Typical custom harvest costs are specified below in the default values. You can make any necessary changes in the "Your Value" specification. With cropland share rentals, the landlord or tenant may make necessary changes reflecting the harvester's share by specifying the crop share received found in the Yield sheet. Crop Harvester's Custom Harvest Value Share Default $ 1, % Your Value $ 1, Per Acre Custom Harvest Cost Total Custom Cost $ Total Share Cost $ File name: ImprovedPecans OSU Agricultural Economics Enterprise Budget Software 6/16/2008-9:51 AM
6 Specify the cost for fungicides below. Default items are included but can be modified to match your operation. Double-click anywhere in the yellow entry area to access a list of default pesticides. Month to Application Units Per Acreage Cost Custom App. Cost of Total App. Fungicide Apply Unit Acre Applied per Unit Charge Chemical Cost Abound 5 Fl. Oz $ 2.25 $ $ Enable 2F 6 Fl. Oz $ 1.73 $ $ Abound 6 Fl. Oz $ 2.25 $ $ Enable 2F 6 Fl. Oz $ 1.73 $ $ Abound 7 Fl. Oz $ 2.25 $ $ Total cost per budget acre $ $ File name: ImprovedPecans OSU Agricultural Economics Enterprise Budget Software 6/16/2008-9:51 AM
7 Default insecticide practices have been specified. You can use the defaults or specify your own applications. Double-click anywhere in the yellow area for a list of default insecticides. You may also click on the "Insect Info" button for a list of insect information. Month to Application Units Acreage Cost Custom App. Cost of Total App. Insecticide Apply Unit per Acre Applied Per Unit Charge Chemical Cost Intrepid 2F 6 Oz $ 1.77 $ $ Intrepid 2F 7 Oz $ 1.77 $ $ Sevin 80S 8 Pound $ 7.12 $ $ Warrior 1EC 9 Fl. Oz $ 2.58 $ 9.91 $ 9.91 Warrior 1EC 10 Fl. Oz $ $ $ Total cost per budget acre $ $ For more information: AGEC-322 Pesticide Recordkeeping Requirements for Crop Production CR-6209 Commercial Pecan Insect and Disease Control EPP-7163 Field Key to Larvae in Pecans EPP-7189 The Pecan Nut Casebearer EPP-7190 Monitoring Adult Weevil Populations in Pecan and Fruit Trees in Oklahom View these and other OSU Publications at: OSU Fact Sheets For information on Ag Product Labels and Material Safety Data Sheets, see: File name: ImprovedPecans OSU Agricultural Economics Enterprise Budget Software 6/16/2008-9:51 AM
8 Default herbicide practices have been specified. You can use the defaults or specify your own applications. Double-click anywhere in the herbicide table yellow cells to access a list of default herbicides. Month to Applicaton Units Acreage Cost Custom App. Cost of Total App. Herbicide Apply Unit per Acre Applied Per Unit Charge Chemical Cost Princep Caliber 90 3 Lbs. A.I $ 5.25 $ 4.85 $ 4.85 Karmex 3 Lbs. A.I $ 6.24 $ 5.82 $ 5.82 Gramoxone Max 3 Lbs. A.I $ $ 3.76 $ 3.76 Roundup 4 Lbs. A.I $ $ $ Total cost per budget acre $ $ For more information: AGEC-322 Pesticide Recordkeeping Requirements for Crop Production BAE-1215 Selecting the Proper Nozzle Type and Size for Low Pressure Ground Sprayers BAE-1216 Calibrating a Low Pressure Ground Sprayer BAE-1217 The Low Pressure Ground Sprayer BAE-1218 Pumps for Low Pressure Ground Sprayers PSS-2750 Guide to Effective Weed Control View these and other OSU Publications at: OSU Fact Sheets For information on Ag Product Labels and Material Safety Data Sheets, see: File name: ImprovedPecans OSU Agricultural Economics Enterprise Budget Software 6/16/2008-9:52 AM
9 Listed below are costs for post-harvest pecans. Include a description, the month the expense incurred, and the cost per acre. Month of Cost Post-Harvest Expense Expense Per Acre Super Sacks 11 $35.00 Total Costs $ File name: ImprovedPecans OSU Agricultural Economics Enterprise Budget Software 6/16/2008-9:52 AM
10 Specify pruning labor expense for pecans not included in the machinery section. You can use the default labor values or specify the labor hours, wage rate, and month(s) of expenditure. Pruning Wage Month of Labor Hours Rate/Hr. Expense Default 1.00 $ 8.25 Your Value Months File name: ImprovedPecans OSU Agricultural Economics Enterprise Budget Software 6/16/2008-9:52 AM
11 Specify thinning labor expense for pecans not included in the machinery section. You can use the default labor values or specify the labor hours, wage rate, and month(s) of expenditure. Thinning Wage Month of Labor Hours Rate/Hr. Expense Default 0.75 $ 8.25 Your Value Months File name: ImprovedPecans OSU Agricultural Economics Enterprise Budget Software 6/16/2008-9:52 AM
12 Specify harvest labor expense for pecans not included in the machinery section. You can use the default labor values or specify the labor hours, wage rate, and month(s) of expenditure. Harvest Wage Month of Labor Hours Rate/Hr. Expense Default 0.00 $ 8.25 Your Value Months File name: ImprovedPecans OSU Agricultural Economics Enterprise Budget Software 6/16/2008-9:53 AM
13 Specify cleaning labor expense for pecans not included in the machinery section. You can use the default labor values or specify the labor hours, wage rate, and month(s) of expenditure. Cleaning Wage Month of Labor Hours Rate/Hr. Expense Default 0.00 $ 8.25 Your Value Months File name: ImprovedPecans OSU Agricultural Economics Enterprise Budget Software 6/16/2008-9:53 AM
14 Parameter Settings - Listed below are typical estimates for labor, fuel, interest rates and other items used in the budget calculations. You can use the defaults or specify values to be used in the "Your Value" column. Your Parameter Settings Default Value Opportunity wage rate charged for labor $ 8.25 Average fuel price (diesel) $ 4.00 Annual operating capital interest rate 8.50% Interest rate charged on machinery loans 8.00% Percent taxes on machinery purchase price 1.00% Percent insurance on machinery average value 0.60% Annual capital month 11 Opportunity interest rate charged on land capital 0.00% Percent ad valorem tax rate on land 0.00% Per acre average value for land Percent of taxes and desired rate of return assigned to pecans. 100% Real interest rate used in determining preproductive costs 3.00% File name: ImprovedPecans OSU Agricultural Economics Enterprise Budget Software 6/16/2008-9:53 AM
15 Non-Harvest Machinery Costs Default costs are representative for the farm size and organization you initially specified, the level of custom service selected, and include non-harvest operations only. Any changes you make in the "Your Value" column will be used instead of the default value. Your Default Value Variable costs ($/acre) Fuel $ Lube $ 5.12 Repairs $ Total $ $ Fixed costs ($/acre) Depreciation $ Insurance $ 0.99 Taxes $ 2.50 Interest $ Total $ $ Select the appropriate machinery choice: Use Owned Equipment Only Use Custom Work Only Use Owned Equipment and Custom Work Fertilizer Operations Pesticide Operations Planting Operations All Other Operations Owned Custom Hours of labor (Hrs/Acre) 4.35 Tractor #1 (hp) 45 Tractor #2 (hp) Tractor #3 (hp) Labor costs per acre $ $ Total owned machinery costs $ $ Total custom machinery costs Total machinery costs $ For additional information, see: CR-205 Oklahoma Farm and Ranch Custom Rates View these and other OSU Publications at: OSU Fact Sheets File name: ImprovedPecans OSU Agricultural Economics Enterprise Budget Software 6/16/2008-9:53 AM
16 Specified monthly field operations, machinery implement, and custom rate costs (see comment box for more information) Machinery Times Custom Cost/per Description Over Cost Operation Offset Disc - $ 8.00 Chisel - $ 9.40 Anhy. App. - $ Sweep Plow - $ 8.88 M.B. Plow - $ Field Cultivator - $ 7.50 Cultipacker - Tandem Disk - $ 8.32 Springtooth - $ 5.90 S. Harrow - $ 6.00 Drill - $ 7.00 Planter - $ 9.50 Post Hole Digger - Airblast Sprayer $ $ 3.81 Sprayer $ $ 5.41 S. Shreader - $ Fert. Spdr $ 7.26 $ 3.63 Rotary Mower $ $ Operations/Month Custom Cost/Month $ $ 5.41 $ $ $ $ $ $ 3.81 Total $ File name: ImprovedPecans OSU Agricultural Economics Enterprise Budget Software 6/16/2008-9:53 AM
17 The default information is based on the irrigation system (point source drip, solid set sprinkler, and micro sprinkler) and power source selection. To view the line-items for the default calculations, click the Irrigation Details button. Any changes you make in the "Your Value" column will be used instead of the default value. Will this crop be irrigated (check "Irrigated" box if yes)? Irrigated Type of Irrigation System: Point source drip system Pump Power Source: Natural Gas Your Irrigation Costs Default Value Application Efficiency 90% Inches of water required by crop 18 Inches provided by rainfall 7 Inches required from irrigation Inches required with efficiency Variable Cost ($/acre) Cost per acre inch of water $ 3.71 Percent of cost related to repairs 40% Total $ Fixed Cost ($/acre) Depreciation $ Insurance $ 8.91 Taxes $ Interest $ Total $ Hours of irrigation labor per acre 0.24 Labor cost per acre $ 1.98 Total irrigation costs $ Your Monthly Water Application Default Value January - February - March - April - May - June 1.83 July 4.28 August 3.67 September 2.44 October - November - December - Annual Total: Your gross annual value: File name: ImprovedPecans OSU Agricultural Economics Enterprise Budget Software 6/16/2008-9:54 AM
18 Default information is based on the initial irrigation system and power source specified. Any changes you make in the "Your Value" column will be used instead of the default value. For more information on system assumptions and how to change values to fit your situation, click on the "Adjustment Information" button. Initial Irrigation Investment Costs Additional Irrigation Settings Default Your Default Your Values Value Values Value Distribution System $ 32,200 Well Lift (feet) 125 Pump $ 5,786 System Pressure (psi) 35 Natural Gas Motor $ 4,700 Pump Flow (gpm) 280 Well $ 10,500 Natural Gas Cost ($/Mcf) $ Column Pipe $ 6,188 Other Proportion of Cost 100% Total $ 59,374 File name: ImprovedPecans OSU Agricultural Economics Enterprise Budget Software 6/16/2008-9:54 AM
19 ENTERPRISE BUDGET WORKSHEET NAME: DATE: FIELD: File: ImprovedPecansIffs Enterprise: Irrigated Improved Pecan Enterprise Budget Number of acres: 40 Yield per acre 1000 lb. Price: $ 1.16 /lb. Operator's share 50 % Percent change in costs 0.00 % Interest rate 8.50 % Error Check 0 Interest Starting Month: January PER UNIT TOTAL JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC << OPERATING RECEIPTS >> Livestock sales: Description unit price quan > - 0 > - 0 > - 0 > Crop sales: Description unit price quan > Pecans Lb , , , , > - - > Government payments (totals) - - > Other farm income (totals) - - > (totals) - TOTAL CASH OPERATING RECEIPTS , , , << OPERATING EXPENSES >> Custom Hire (machine work) - - Feed Purchased - - Fertilizer, Lime, Chemicals , , , , , , Freight, Trucking - - Fuel, Lubricants , Insurance Labor Hired , Rent - - Repairs, Maintenance , Seeds, Plants - - Storage, Warehousing - - Supplies - - Taxes Utilities - - Veterinary, Medicine - - Miscellaneous - - Post Harvest , , Livestock purchased for resale Description unit price quan > - - > - - TOTAL CASH OPERATING EXPENSES ,964 1, , ,748 3,574 2,560 2,319 1, ,400 0 NET OPERATING (Rec - Exp) ,236 (1,090) (330) (3,268) (855) (3,748) (3,574) (2,560) (2,319) (1,281) (539) 10,200 11,600 Operating interest expense Net Operating After Interest ,414 (1,097) (340) (3,301) (895) (3,813) (3,666) (2,670) (2,445) (1,415) (677) 10,134 11,600 Contribut'n to Other Enterprise 0 Contribut'n of Other Enterprise Net after contribution ,414 (1,097) (340) (3,301) (895) (3,813) (3,666) (2,670) (2,445) (1,415) (677) 10,134 11,600 Land or Other Fixed Charges ,555 1,546 1,546 1,546 1,546 1,546 1,546 1,546 1,546 1,546 1,546 1,546 1,546 Net After Other Charges (428.52) (17,141) (2,644) (1,886) (4,847) (2,441) (5,360) (5,212) (4,216) (3,991) (2,962) (2,224) 8,587 10,054 File name: ImprovedPecans OSU Agricultural Economics Enterprise Budget Software 6/16/2008-9:54 AM
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