COST OP PRODUCING BEEF IN KANSAS 
21 
The sale price per hundred pounds necessary to meet all costs was 
practically the same for the fed-on-grass steers as for the straight 
grass cattle. The prices were for 800 pounds and below 900 pounds, 
fed-on-grass, $7.56; straight grass steers, $7.56. For the steers 
weighing more than 900 pounds, fed-on-grass, $7.80; straight grass, 
$7.75. The average of the steers in these two groups lost money; 
that is, did not return current rates for labor, interest on investment, 
grass charges, and all items of cash expenses, but the fed-on-grass 
steers did not lose so much as did the straight-grass steers. The 800 
to 900 pound fed-on-grass steers lost $1.37 less than the straight-grass 
cattle of similar weight and the 900-pound group lost $1.50 less than 
the same weight of straight-grass steers. 
USE OF COST DATA IN ESTIMATING FUTURE GRAZING OPERATIONS 
These data may be used to estimate the price which can be paid 
for steers and yet handle them profitably under conditions that may 
exist at any future time. Every cattleman is obliged to do this in 
bidding for the cattle which he buys for grazing purposes. He esti- 
mates the probable gain the cattle will make, the cost of this gain 
and the price the cattle will bring when sold. On the basis of these 
estimates, he decides whether he can pay a given price for a herd of 
cattle. In making such estimates three things are involved: (1) The 
amount of the gain, (2) the cost of this gain, and (3) the margin 
between the purchase and the probable sale prices per hundred- 
weight. In Table 8, data based on the records are used and com- 
bined with estimated carrying charges, to show the price which 
can safely be paid for cattle going on grass, or if purchased at the 
figure given, the price which must be obtained for them to break 
even when sold. 
Table 8. — Estimated gains, costs, and necessary margins on different classes of 
steers 
Class of steers 
Item 
Thin 
aged 
steers 
Aged 
steers 
fed on 
grass 
Thin 
2-year- 
old 
steers 
Thin 
year- 
ling 
steers 
Initial weight 
Estimated gain 
Out weight ._ . . - -. 
pounds.. 
do 
do.... 
750 
300 
1,050 
7.50 
1.0 
1.0 
135 
56.25 
900 
250 
1,150 
7.70 
2.5 
3.0 
165 
69.30 
570 
240 
810 
7.90 
1.5 
1.5 
150 
45.03 
390 
230 
620 
Estimated purchase price per 100 pounds 
Man labor » '. 
dollars.. 
hours_- 
do.... 
7.40 
1.5 
1.5 
Length of time on farm 
Initial cost 
days.. 
..dollars.. 
165 
28.86 
Carrying cost: 
Grass . ... . . 
$8.00 
$8.00 
3.50 
.88 
.30 
2.54 
.25 
1.00 
$8.00 
$5.50 
Feed 
Man labor 
.35 
.10 
1.69 
.24 
.50 
.53 
.15 
1.50 
.25 
.70 
.53 
Horse labor . ...... .... 
.15 
Interest at 8 per cent ._ .. . ... 
1.06 
Death' loss. .... 
.31 
Other costs .. . . ... 
.50 
Total carrying cost . ..... . ._ ._._._.._. 
10.88 
67.13 
16.47 
85. 77 
11.13 
50. 16 
8.05 
Total cost delivered at local shipping point 
36.91 
Market costs 2 
3.50 
4.50 
2.90 
Total cost at terminal market. 
70.63 
90.27 
59. 06 
36. 91 
Price per 100 pounds necessary to break even at terminal market 
6.75 
-.75 
7.85 
.15 
7.30 
-.60 
5. 95 
-1.45 
1 Man labor charged at 35 cents per hour and horse labor at 10 cents. 
2 Freight, commission, yardage, traveling expenses, etc. 
