estimate of the annual charge associated with the cash investment, the 

 operator can ask himself this question, "Will the benefits expected be worth 

 while in view of the annual cost, and in view of the other pressing needs?" 

 Table 7 summarizes the costs and benefits possible for the particular 

 installation described above. 



Table 7. Estimated Annua! Costs and Benefits from One Bulk Feed Installation^ 



Costs 



Benefits- 



Decreased feed wastage (less by 



1.0-5.8 pounds/ton) $ 10.37- 60.06 



Elimination of bag loss (low and 



average rates in Table 6) 8.74- 38.89 



Time savings in feeding (.1-.3 man 



minutes daily per 100 layers at 



$l/hour) 24.33- 73.00 



Savings on purchase price of 



feed ($1-3 per ton) 218.40-655.20 



Additional net income from 288 



birds in released space^ 

 Effects on the labor force 



^ For 4,000 layers, described in text. 



" Some of these items are "potential" benefits until put to productive use, i.e., time savings and 

 released space. 



^ Space released assumed to equal 2 grain rooms 24' by 24'. Should take into account costs involved. 



One man may decide on the basis of having considered alternatives, 

 that an increase in flock or herd size should be given priority. Another man 

 may decide that permanent bins will be most profitable. In making a final 

 decisions, it may not always be the doUars-and-cents differences between 

 direct costs and returns which will provide the answer. 



Effects on the Labor Force. 



Reference was made in the preceding section to less apparent benefits 

 from conversion to bulk feed such as a decrease in the physical burden and 

 more flexibility in the use of labor. These considerations may be of special 

 significance to older operators and on family farms where there is little or 

 no hired labor. Also, taking some of the heavy work out of farming may 

 enhance its attractiveness to hired workers. 



It is difficult to prove that the elimination of lifting and handling sev- 

 eral tons of grain in 100-pound bags actually pays in dollars and cents. 

 Some young and vigorous operators may find wrestling with 100-pound 

 bags a diversion and a challenge. On one farm visited the operator and his 

 help considered handling 240 of these weekly no burden, but on another 

 farm the operator, who has to carry only 30 bags a week up a flight of 

 stairs, considered this a real burden and stated he had just about reached 

 his limit for this type of physical effort. 



Many farm operators and workers probably should not be handling 

 100-pound bags; others find it one of the most objectionable features of 

 farm employment. Bulk handling can extend the productive life of older 

 men. In emergencies, children and the farm wife can carry on a large part 

 of the essential work. One poultryman who invested about $500 in elevators 

 and permanent bins stated that the major benefit to him was that the in- 

 stallation made it easy for members of his family to take over certain chores 



11 



