126 CREAMERY BUTTER MAKING . 



In this method the net price per pound of butter is 

 used instead of the price per pound of butter fat. The 

 method involves a little more work as each patron's over- 

 run in pounds must be calculated separately. For clear- 

 ness, however, we believe no other method surpasses this. 



The price of butter net to the patrons is obtained by 

 subtracting the price charged for making from the aver- 

 age price for which the butter has sold. This average 

 price is found by dividing the total gross receipts by the 

 total pounds of butter at the creamery, thus : 



Sales of butter. 



205 Ibs. at 23 cts. = $47-15 



240 Ibs. at 2^/2 cts.= 56.40 



214 Ibs. at 24 cts. = 51.36 



269 Ibs. at 24 cts. = 64.56 



Total.. 928 Total $219.47 



$219.47-^-928 = $.2365 = Average price for which butter 

 was sold. $.2365 less three cents for making = $.2065 = 

 price of butter net patrons. The butter fat plus overrun 

 multiplied by the net price gives each patron's portion of 

 the dividend. 



II. Whole Milk and Cream. Where both whole milk 

 and cream are received at the creamery, the calculation 

 of dividends for cream patrons differs from that for whole 

 milk patrons in one point; namely, in increasing each 

 cream patron's total butter fat by 2%. The reason for 

 this is that the cream patrons are credited with the butter 

 fat found in the cream, while the whole milk patrons are 

 credited with all the butter fat found in the milk, which 

 is about 2% more than would be found in the cream from 

 the same milk, 2% of the butter fat being lost in the 

 skim-milk. To illustrate : 



