Answered step by step
Verified Expert Solution
Question
1 Approved Answer
NEED HELP ANSWERING ACCORDINGLY TO COMPARE MY ANSWERS PLEASE AND THANK YOU!! Assume you have a chance to rent 1,000 acres of cropland for 6
NEED HELP ANSWERING ACCORDINGLY TO COMPARE MY ANSWERS PLEASE AND THANK YOU!!
Assume you have a chance to rent 1,000 acres of cropland for 6 years. You can raise only wheat. Your problem is to develop an enterprise budget to see if this venture will be profitable before you sign the lease and purchase the necessary machinery A. MACHINERY NEEDED (Use only for the 1,000 acres of wheat.) Aural) Machine Con Sale Salinas 1. Tector 150.000 550.000 6 S6 SIS 2. Chisel 17,900 $6,00 boys 520 54 Duck $18.00 S 7.500 6 yrs 58 545 4. Grain dra 29.00 $ 5.700 520 5. Pickup 19.700 53.00 $95 595 B. MACHINERY CALCULATIONS - AVERAGE ANNUAL FIXED COSTS (Use 8% opportunity cost for capital.) (4 pts) Depreciation Interest Insurance Khi Disk Gradeill Pickup TOTALS Cold acre C. OTHER INFORMATION 1. Expected yield 35.0 bu, per acre 2. Selling price S 5.25 per bu 3. Labor cost - preharvest $ 9.80 per acre 4. Land rent $47.50 per 5. Fertilizer cost $26.50 per acre 6. Seed cost $25.00 per acre 7. Chemical cost S 12.75 per acre C. OTHER INFORMATION (CONT.) 8. Tractor variable cost S13.20 per acre 9. Variable cost on other mach & equip. $ 5.65 per acre 10. Custom harvesting, hauling, etc. $25,00 per acre 11. Compute interest on total preharvest costs @ 6% for 6 months. Assume you have a chance to rent 1,000 acres of cropland for 6 years. You can raise only wheat. Your problem is to develop an enterprise budget to see if this venture will be profitable before you sign the lease and purchase the necessary machinery A. MACHINERY NEEDED (Use only for the 1,000 acres of wheat.) Aural) Machine Con Sale Salinas 1. Tector 150.000 550.000 6 S6 SIS 2. Chisel 17,900 $6,00 boys 520 54 Duck $18.00 S 7.500 6 yrs 58 545 4. Grain dra 29.00 $ 5.700 520 5. Pickup 19.700 53.00 $95 595 B. MACHINERY CALCULATIONS - AVERAGE ANNUAL FIXED COSTS (Use 8% opportunity cost for capital.) (4 pts) Depreciation Interest Insurance Khi Disk Gradeill Pickup TOTALS Cold acre C. OTHER INFORMATION 1. Expected yield 35.0 bu, per acre 2. Selling price S 5.25 per bu 3. Labor cost - preharvest $ 9.80 per acre 4. Land rent $47.50 per 5. Fertilizer cost $26.50 per acre 6. Seed cost $25.00 per acre 7. Chemical cost S 12.75 per acre C. OTHER INFORMATION (CONT.) 8. Tractor variable cost S13.20 per acre 9. Variable cost on other mach & equip. $ 5.65 per acre 10. Custom harvesting, hauling, etc. $25,00 per acre 11. Compute interest on total preharvest costs @ 6% for 6 months Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started