Ch. 12 Case Study-Partial Budgeting Rhonda Rancher is currently running 230 stocker steers, which are purchased in the spring, run on pasture during the summer and sold in the fall. Rhonda is thinking about switching to a cow-calf operation with 100 beef cows replacing the 230 stocker steers Use the following information to complete a partial budget so you can ynake a INFORMATION ON STOCKER STEERS 0 head) Returns: 675 lb. steer@$80.00/cwt. (Sell 226 head, assume 4 die) Costs: 400 lb. steer@ $90.00/ewt. Hauling expense: Health expense: Feed, salt and minerals: Mise. expense: Interest charge: $7.00 per steer S12.00 per steer $9.50 per steer $4.00 per steer should be charged on all costs for the 6 month period using a 8% opportunity cost. BE Investment in cows, bulls and replacement herd averages S900 per cow. The calf crop is 92% (92 calves are weaned) and 12 heifer calves are kept for replacements 80 calves weighing 460 lbs., $85.00 per cwt 12 cull cows weighing 1,050 lbs. $50.00 per cwt. Returns: 92 head @ S6.00/head 100 cows$8.00 cow 100 cows $14.00/cow 100 cows @S18.00/cow 100 cows $6.00/cow 100 cows $5.00/cow Costs: Hauling expense: Health expense: Purchased feed: Hay expense Bull cost: Misc. expense: Interest charge 1) figure on the total investment in the herd at 8% for a full year (Cows are owned all year.) and 2) the total of all other costs at 8% for 6 months. Ch. 12 Case Study-Partial Budgeting Rhonda Rancher is currently running 230 stocker steers, which are purchased in the spring, run on pasture during the summer and sold in the fall. Rhonda is thinking about switching to a cow-calf operation with 100 beef cows replacing the 230 stocker steers Use the following information to complete a partial budget so you can ynake a INFORMATION ON STOCKER STEERS 0 head) Returns: 675 lb. steer@$80.00/cwt. (Sell 226 head, assume 4 die) Costs: 400 lb. steer@ $90.00/ewt. Hauling expense: Health expense: Feed, salt and minerals: Mise. expense: Interest charge: $7.00 per steer S12.00 per steer $9.50 per steer $4.00 per steer should be charged on all costs for the 6 month period using a 8% opportunity cost. BE Investment in cows, bulls and replacement herd averages S900 per cow. The calf crop is 92% (92 calves are weaned) and 12 heifer calves are kept for replacements 80 calves weighing 460 lbs., $85.00 per cwt 12 cull cows weighing 1,050 lbs. $50.00 per cwt. Returns: 92 head @ S6.00/head 100 cows$8.00 cow 100 cows $14.00/cow 100 cows @S18.00/cow 100 cows $6.00/cow 100 cows $5.00/cow Costs: Hauling expense: Health expense: Purchased feed: Hay expense Bull cost: Misc. expense: Interest charge 1) figure on the total investment in the herd at 8% for a full year (Cows are owned all year.) and 2) the total of all other costs at 8% for 6 months
