Whole Farm, Profit Objective Pricing, MF-1101 Click on the image above to download a complete copy of this publication in PDF format. Download a free copy of the Adobe Acrobat Reader.
Pay day is the day agricultural producers sell their commodities and livestock.
Most of us, whether farmers, small businessmen, or employees, wish to earn the most for our efforts. The intent of this guide is to help producers calculate a profit objective price for their commodities in any given year based on that year's farm mix of crops and livestock and on historical price and production data. With the knowledge of this profit objective price, actual marketing plans can be devised and carried out. These four items are paid with taxable dollars. Any farm that cannot generate sufficient profit to meet these needs will either lose equity or must find alternative sources of income.