Gross value of production: 



Primary Crop 51.16 



Secondary Crop 1.29 



Total 52.45 



Cash expenses: 



Seed 6.08 



Fertilzer 12.90 



Chemicals 5.38 



Custom operations 1.68 



Fuel, lubrication, and electricity 3.94 



Repairs 6.29 



Hired labor 4.36 



Purchased irrigation water 1.17 



Technical services 0.27 



Total variable cash expenses 42.07 



General farm overhead 5.23 



Taxes and insurance 6.99 



Interest on operating loans 4.84 



Interest on real estate 7.37 



Total, fixed cash expenses 24.43 



Total, cash expenses 66.50 



Net returns less cash expenses ^ -14.05 



Capital replacement 22.80 



Net returns less cash expenses and 



capital replacement -36.85 



Economic (fiill ownership) costs: 



Variable cash expenses 42.07 



General farm overhead 5.23 



Taxes and insurance 6.99 



Capital replacement 22.80 



Allocated returns to owned inputs: 



Return to operating capital ^ 0.56 



Return to other nonland capital "* 4.21 



Net land return ^ 23.32 



Unpaid labor 10.62 



Total, economic costs 115.80 



Residual returns to management and risk ^ . . . -63.35 



Harvest-month price (dollars per bushel) 1.18 



Yield (bushels per planted acre) 43.28 



62.04 



-19.31 



-49.14 



1.47 

 43.05 



Dollars 



62.22 



-29.24 



-59.62 



3.01 

 16.90 



56.95 



-9.35 



-38.13 



2.28 

 29.69 



60.96 



-5.74 



-32.16 



2.45 

 30.81 



52.49 



-22.34 



-50.38 



3.87 

 12.56 



' Excludes direct effects of Government programs on costs and returns; sum of operator and landlord costs and returns. 



Gross value of production less total cash expenses. ^ Variable expenses multiplied by time between use and harvest and 

 by 6-month U.S. Treasury bill rate. "* Value of machinery and equipment multiplied by longrun real rate of return to 

 production assets in the farm sector. ^ Rental value based on composite share and cash rent. ^ Gross value of 

 production less total economic costs. 



SOURCE: Economic Indicators of the Farm Sector, Costs of Production-Major Field Crops, 1988, USDA-ERS 



