Duvick, Richard D.

Von der Embse, Barry J.

Watkins, Brian H.

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Cooperative Extension Service The Ohio State University Agricultural Economics and Rural Sociology 2120 Fyffe Road Columbus, Ohio 43210 Phone 614 422-7911 1982 OWNER-OPERATOR CROP SUMMARY ESO No. 1042 Ohio Farm Business Analysis Richard D. Duvick,Brian H. Watkins and Barry J. von der Embse August, 1983 This report summarizes the 1982 records of 19 owner-operator crop farms. These records are from farms that have sub-mitted their financial data to the Ohio State University for computer analysis. The farms summarized in this report were chosen because they generated at least 50% of their cash receipts from general crop sales, share rented less than 15% of their acreage, and maintained complete and accurate farm records. A more complete and thorough summary of these farms is given in the 1982 Farm Business Analysis Report, General Crop Summary, Extension No. MM-356, ESO 907. Comparisons between years should be made recognizing that not all the same farms are summarized each year. Over the past nine years, gross farm income has increased dramatically. However, net cash and net farm income have remained relatively constant over the same period, as indicated in figure 1. This implies that constant increased levels of production were necessary just to maintain net cash and net farm incomes. When considering the impact of inflation, actual net cash and net farm incomes have declined over the past nine years. 1982 showed a drastic increase in gross farm income over 1981. This increase is also reflected in net cash and net farm incomes. Some of the reasons for these changes can be observed by looking at table 1. This table presents income, expenses, and production informa-tion for the years 1980 through 1982. 1982 is divided by a ranking of per hour return to unpaid labor and management into three categories; upper 50%, average, and lower 50%. 170 160 150 140 130 120 110 100 90 80 70 60 50 40 30 20 lO Some reasons for these increases are more tillable acres, higher crop yields and a higher general crop pro-duction value per acre. Tillable acres increased 7% from a year ago, corn yields increased 10.2 bushels per acre and soybean yields increased 8.5 bushels per acre. General crop production value per acre increased $26 over the 1981 level. This was mainly a result of the higher yields in 1982, since per acre cash expenses stayed nearly the same as in 1982. Fi~ure l - Selected Income Meaauroa owner-Operator crop Farma, Ohio FBA, 1974·82 - Gross Fa.rm Income ------ Net caah Income -- Net l'arm Income 71 78 24 28 20 19 22 26 24 82 u Year llo. of Farn~a College of Agriculture and Home Economics of The Ohio State University and The United States Department of Agriculture Cooperating TABLE 1 -- OWNER-OPERATOR CROP SUMMARY OHIO FARM BUSINESS ANALYSIS REPORT -------------------------------------------------------------------------------------------------------------------------------------------1982---------------------- 1981 1980 UPPER 50% AVERAGE LOWER 501. AVERAGE AVERAGE INCOME CASH RECEIPTS $ 191,468 167,884 14L 686 138,648 110.241 CAPITAL GAINS & LOSSES $ H~ 1, 72} 3,492 2.548 527 II'NENTORY CHANGES $ 2,586 5,467 8,670 -3,849 22,130 - FEEDER LIVESTOCK $ -3,922 -2,161 -204 -4,183 -2.324 GROSS FARM INCOME :$ 190,265 1?2,913 153,644 133,164 130,574 EXPENSES CASH EXPENSES $ 143,9H 132,336 119,409 124,369 90,936 DEPRECIATION $ 22,276 22,411 22,559 19,631 15,470 INTEREST NOT CHAF.f£D $ 4,985 19,412 35,443 11,768 15,699 IJf>AID OPERATOR & FftULV LABOR $ 12.648 14,047 15,601 12,131 13,890 - FEEDER LIVESTOCK $ -3,922 -2,161 -204 -4.183 -2,324 TOTAL FARM EXPENSES $ 179,900 186,045 192,808 163,716 133.671 MANAGEMENT INCO!£ AND PROFIT $ 10,365 -13,132 -39,164 -30.552 -3,097 l.INPAID OPERATOR ANI) FAI'ti L Y LABOR $ 12,648 14,047 15,601 12.131 13.890 OVERHEAD COSTS $ 85.839 90.849 96,412 69.000 61,487 VARIABLE COSTS $ 81.413 81.149 80,795 82.585 58,294 NET CASH INCOME $ 47,555 35,548 22,277 14.279 19,305 NET FARM INCOME $ 27,998 20,3:27 1L880 -6.653 26,492 INVESTMENT TOTAl $ 3:88,491 474,500 570,334 355.821 352,13:8 RETURN TO INVESTMENT $ 45.3:21 29.500 12,166 1.472 28.595 PERCENT RETURN TO I NVESTI'ENT ?. 11. 7 6.2 2.1 4 8.1 GROSS INCOME PER $1,900 INVESTED$ 490 3:64 269 374 371 UNPAID LABOR & MANAGEMENT INCOME TOTAL $ 23,013 915 -23.563: -18,421 10,793 PER HOUR $ 9.18 . 33 -7.69 -7.62 3. 69 --------------------------------------------------------------------------------------------------------------------------SIZE OF BUSINESS NO. OF TILLABLE ACRES NO. 557 507 458 472 3:99 NO. OF MEN NO. 1.02 1.15 1.30 1.29 1. 15 NO OF FULL TIME OPERATORS . 79 . 81 . 83: . 74 .95 LAND INVESTMENT $ 165,9l9 244,773 332,366 140,651 174,l28 CROP PRODUCTION PER ACRE PER ACRE PER ACRE PER ACRE PER ACRE ~ YIELD BU. 117. 0 117. 2 116. 9 107.0 112.6 SOYBEAN YIELD BU. 43.0 41.0 38. 7 32.5 37.2 WHEAT YIELD BU. 49.0 46.6 43.3: 47.8 51. s GENERAL CROP ACRES NO. 536 499 457 472 J95 PER ACRE PRCJI)IJ(;TlON INFORMATION PER ACRE PER ACRE PER ACRE PER ACRE PER ACRE GENERAL CROP PROD. VALUE $ 277.23 256.45 229 88 230 305 FERTILIZER AND LIHE COST $ 59.59 48. 7S 45. 76 58 43 i'IACHI NER'r' INVESTMENT $ 157 59 174.49 194.83 162 163 MACHINERY COST $ 73.64 77.77 82.23 7S 72 LABOR AND MANAGEMENT INCOI'IE $ 41.31 1.80 -51.45 -39 27 TOTAL FARM INVESTMENT $ 697.30 936.05 1245.27 753 883 NUMBER OF FARMS NO. 10 19 9 24 26 --------------------------------------------------------------------------------------------------------------------------

1982 Owner-Operator Crop Summary

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1982 Owner-Operator Crop Summary

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