Free Republic
Browse · Search
General/Chat
Topics · Post Article

To: Mr. Lucky

The diesel cost adds to the expenses side of the balance sheet. With low profit margins the added expense can flip the accounting estimates from expected profit to break even or loss. If your best-case expectation is to break even, then why plant.


40 posted on 10/22/2022 5:09:49 AM PDT by MtnClimber (For photos of Colorado scenery and wildlife, click on my screen name for my FR home page.)
[ Post Reply | Private Reply | To 17 | View Replies ]


To: MtnClimber
On average, 3-3.5 gallons of diesel are consumed in raising and harvesting one no-till acre of corn; even at $5 per gallon, that's less than $20 per acre.

Corn, at my local elevator, was bid at $6.60 per bushel as of Friday (close to twice what it was two years ago). At an average yield of 175 bushels per acre, fuel represents 2% of the value of an acre of corn.

41 posted on 10/22/2022 6:04:30 AM PDT by Mr. Lucky
[ Post Reply | Private Reply | To 40 | View Replies ]

Free Republic
Browse · Search
General/Chat
Topics · Post Article


FreeRepublic, LLC, PO BOX 9771, FRESNO, CA 93794
FreeRepublic.com is powered by software copyright 2000-2008 John Robinson