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You have been contracted by the Tono irrigation project to do cost analysis for the production of irrigation rice. The data generated for such an
You have been contracted by the Tono irrigation project to do cost analysis for the production of irrigation rice. The data generated for such an estimate are as follows: Investment Land Gross Cost (c/ha) 365,000 Dam / Reservoir 562,500 Pump/ Engine 120,000 Pipeline & accessories 375,000 Canal system 255,000 Years of use for depreciation 25 20 2222 20 20 Assume taxes = 1%; Interest = 2.5%; Insurance = 2% on original costs. Operation Land preparation: 108,000/ha Seed: 80kg/ha @c300/kg Fertilizer: NPK: 10bags/ha @ 19,500/bag Sulphate Ammonia 6 bags/ha @ 15,000/bag Other Agrochemical: Herbicide: 81/ha @c10,500/1 Furadan: 20kg/ha @ 1,950/kg Cymbush: 21/ha @ c18,000/1 Dithane: 5kg/ha @ 7,500/kg Others: $67,000/ha Water: $75,000 per ha Labour: 250 manhours/ha @ c1,500/manhour Repair and maintenance: Dam/Reservoir 1%; Pump/engine 5%; Pipe line & accessories 1%; Canal 5% of original costs Polysacks: 75nos/ha @ C600/unit Other incidentals: 18,000/ha What is the equivalent cost in US$ if US$1.00 $1,100 (1995 rate). 29. What is the annual cost of investment per ha on the land? a) 19,800.00 b) c 23,587.50 c) 34,687.50 d) 46,406.25 30. What is the annual cost of investment per ha on the dam/reservoir? a) 19,800.00 b) 23,587.50 c) 34,687.50 d) 46,406.25 31. What is the annual cost of investment per ha on the pipe and accessories? a) 19,800.00 b) c 23,587.50 c) 34,687.50 d) 46,406.25 32. What is the annual cost of investment per ha on the canal? a) 19,800.00 b) 23,587.50 c) 34,687.50 d) 46,406.25 33. What is the total annual cost of investment per ha? a) 123,587.50 b) c 130,687.50 c) 134,406.25 dlc135 581 75
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