Question
A farmer in the Frankfort region farming with beef cattle. The heard consist of 350 cows. The size of the farm is 2200ha.with a carrying
A farmer in the Frankfort region farming with beef cattle. The heard consist of 350 cows. The size of the farm is 2200ha.with a carrying capacity of 6ha / LSU. He keeps the heard constant on 350 cows. Records of the previous years: The farmer has 11 bulls that he use and replace 3 bulls each year. He sells the old bulls to the abattoir for R8000 per bull. He buys new bulls at local actions for an average price of R 22000 per bull. He has only one calving season per year with a calving percentage of 98% and a mortality rate among newborn calves of 4%. He replaces 20% of the old cows every year. He sells his old cows at the local abattoir and get an average price of R5000 / cow. He uses his own heifers for replacement of the old cows. He sells all the calves that are left to a nearby feedlot for a price of R42.25/kg (live weight) and they have an average live weight of 230kg / calf. Production inputs: The cows and the bulls receive a winter and summer lick. o The winter lick cost R 350 per animal and the summer lick cost R 390 per animal. o The calves receive only lick for six months; their lick cost is R 125 per animal for the six months. During the winter, the cows get some extra Eragrostis Tef grass bale. The farmer feed 580 bales during the winter at a cost of R 250/bale. The farmer dip the animals with Pour on (Deadline) 3 times a year at a cost of R 4567.50/20L Deadline and he uses two drums during the year. Every year the Vet measure the pelvises of all the heavers he is going to keep for replacement at a cost of R 45/heifer. Farmer provides you with the records of the previous years and asks you to determine the following; 1.1. GPV per cow 1.2. GPV per heard 1.3. Total production cost i. Total lick cost for adult animals (winter) ii. Total lick cost for adult animals (summer) iii. Total lick cost for calves (winter) iv. Total lick cost for calves (summer) v. Dipping costs vi. Vaccination costs 1.4. Cost of production 1.5. GM per cow 1.6. GM per heard (30) 2. Calculate the break-even point; 2.1. Price 2.2. Yield (NB: per cow) (10) 3. Briefly, conclude on the following as part of the production system; 1.1. GM per cow 1.2. GM per heard 1.3. Cost of production
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