24 Report of the Acting Director and Chemist op the 



SUMMARY. 

 1. Basis of Calculations. 



{a) Cost. — The food-cost of products alone is considered. 



(b) Value of Milk. — The value of the milk is based on the 

 amount of total solids in milk, allowing 9^ cents a pound for milk- 

 solids, which is equivalent, on an average, to 2-4- cents a quart for 

 milk or 1.28 cents a pound. 



(c) Value of Butter. — The butter is calculated to contain 85 per 

 cent, of fat and an average price of 25 cents a pound is placed on it- 



{d) Value of Cream. — The cream is calculated to contain 20 

 per cent, of fat and an allowance of 20 cents a quart is made for it. 



{e) Value of Cheese. — The price for cheese is placed at 10 cents 

 a pound for cheese about one month old. 



{f) Method of Caloulatrng Profit. — A deduction is made from 

 the gross profit (the difference between the value of the product and 

 its food-cost), amounting to 12^ cents for each 100 pounds of milk, 

 representing the amount of feeding and fertilizing materials taken 

 away from the farm in the case of selling milk and cheese. A 

 smaller but proportionate reduction is made in the case of cream, 



2. Average Profits Derived from Selling Milk and its 



Products for one Period of Lactation. 



{a) From Cheese, $9.79. 



(J) From Milk, 19.80. 



(c) From Butter, 25.64. 



{d) From Cream, 72.52. 



3. The Amount of Profit Gained in Selling Milk and its 



Products est one Form over other Forms. 



{a) Butter over milk, $5.84 profit. 



(b) Milk over cheese, 10.00 profit. 



(c) Butter over cheese, 15.85 profit. 

 {d) Cream over butter, 46.88 profit. 

 ((?) Cream over milk, 52.72 profit. 

 {f) Cream over cheese, 62.73 profit. 



4. Comparative Statement of Profits Derived from Selling 



Milk' ajstd its Products. 

 {a) Ratio of profit of milk to butter, 1 : 1.30. 

 {b) Ratio of profit of cheese to milk, . 1 : 2.02. 



