he decision to participate in a government farm program can be analyzed with a partial budget. ssume a cotton grower wants to know if participation would increase profit. Assume it requires not anting 10% of the normal cotton acreage and in return the grower is guaranteed a price of $0.70per on 60% of normal acres. The government pays the grower the difference between $0.70 and the rerage market price on these acres. Use the following information to develop a partial budget for the ecision. Acreage, Yield and Price Information B. Other Information 1) Participating will result in a cash government payment of: 300.0 acres X600lb. X (0.700.64)=$10,800.00 2) By not planting the 50 acres the grower will save the following expenses: 3) 4) Figure opportunity cost on all preharvest variable costs at 8% for 6 months. C. Work out a partial budget on the form and answer the questions which follow. opyright @ 2016 McGraw-Hill Education. All rights reserved. o reproduction or distribution without the prior written consent of McGraw-Hill Education