216 



APPENDIX D 



TOTAL COST * 



Producer 

 No. 1 



Producer 

 No. 2 



Producer 

 No. 3 



1. Feed, hay, grain, ensilage, pas- 



ture $49.40 $51.54 $68.00 



2. Labor 17.72 18.15 45.00 



3. Overhead charges 



a. Interest on money invested 



in cow 3.00 5.85 10.00 



b. Insurance on cow 45 .37 3.00 



c. Taxes on cow 2.15 .75 



d. Depreciation of cow 5.00 9.75 20.00 



e. Barn rent 2.86 2.00 1.00 



f. Bedding 2.00 1.00 5.00 



g. Keep of bull 2.86 3.00 5.00 



h. Incidentals, light, medi- 

 cine, veterinarian, heat- 

 ing water in winter, salt, 



etc.. 1.50 .50 5.00 



$86.94 $92.91 $162.00 



* "The two fundamental figures entering into the cost of a quart of 

 milk are the net cost of keeping a cow per year and the amount of 

 milk the cow produces in a year." "All of the figures can be obtained 

 by accounting for the total amount of each one of the items for the 

 entire herd, then dividing by the number of cows, to obtain the in- 

 dividual cost. The total production of each cow, however, should be kept 

 separate, as should also her butter-fat test." The manner of figuring cer- 

 tain cost items is explained in the report as follows: 



1. Feed. -Hay, clover, alfalfa, were figured at the market prices that 

 could be received for the same in the barn on the farm; grain for what 

 it costs plus delivery to the farm; pasture according to its value, taken 

 in comparison with hay and grain; ensilage at its estimated value, 

 $3 to $4 per ton. 



2. Labor. -Labor was charged at the local market price for just 

 the time it takes to care for the cows. 



3d. Depreciation of Cow. Depreciation was reckoned in two ways: 

 (1) depreciation over a period of 3, 5 or 8 years, as to deaths, injuries, 



