18 



University of New Hampshire 



[Sta. Bull. 323 



Effect of good and poor sites 



To illustrate the ell'eet of good and i)oor sites, oi'ehards with low and 

 high yield eurves as indieated in figure 8 are eonii)ared to orchards with 

 standard yields. The orchard on a good site has a peak in investment 

 of $6,520 at 12 years, the orchard on poor site an investment of $14,363 

 at 60 years, as compared to an investment of $7,690 at 14 years in the 

 standard orchard. The net returns compounded w^ould bring the good 

 site orchard out of the red in 20 years as compared to 24 years in the 

 standard orchard. The poor site orchard would never pay. (Fig. 14.) 



In the past insufficient attention has been given to the selection of 

 apple orchard sites, yet the factors making up a good site are not too well 

 known. But certainly before projecting a business like apple growing 

 which will require expanding investments over a long period of time, 

 the operator should study the site very carefully. The purpose of figure 

 14 is to indicate the importance of this study. 



Combination of cost and yield 



!So far we have made use of the budget analysis to indicate a devia- 

 tion in one factor of cost or yield as compared to the normal situation. 

 Using the various curves representing varying costs and those represent- 

 ing varying yields, the influence of many combinalions of circumstances 

 can be illustrated. In figures 15 and 16 are shown several such com- 

 binations compared to the standard situation. 



Fig. 



15 



Fig. 16 



1. Early bearing and low cost metlioels (^standard) 



2. Early bearing and high cost methods 



3. Late bearing and low cost methods 



4. Late bearing and high cost methods 



Poor site and low cost methods 

 Poor site and high cost methods 

 (Jood site and low cost methods 

 (Jood site and high cost methods 



-3 



10 



15 20 



40 



45 



50 55 60 



25 30 35 



Age of Trees 

 Fic.iiKK 1 1. -.\nnual Net Returns Per 1000 Trees Accumulated 



AND COMPOUNhEI) AT Ti'/o INTEREST WHEN YlKI.DS ARE ABOVE OR 



Below Normal. (See Figure 8.) 



