Enter Exected Short Term Interest Rate on Operating Loans 8.

00%
Enter The Expected Average Annual Inflation Rate 3.00%

PwrUnit #1

Machinery and Equipment Cost Worksheet

Calculates Breakeven Acreages and Custom Rates
Power Unit or
Self
CALCULATION OF HOURS OF USE Propelled #1
65 horse
Type in Machine Name Or Descripti tractor
Average Speed in MPH 3.5
Width Powered/Self Propelled/Equipment in Feet 12
Field Efficiency 75%
Help Total Acres of Annual Use for ALL Purposes 400
Calculated Hours of Annual Use 105
Calculated Acres Per Hour 3.8
Information For Cost Calculations
List Price $15,000
Annual Use in Hours 105
Estimated Life in Hours 10,000
Salvage Value $5,000
OPERATING COSTS:
FUEL:
Fuel Factor (Diesel = .044, Gas = .06, LP = .072) 0.044
Horse Power 65
Price Per Gallon of Fuel $2.50
Calcualted Gallons Per Hour Used 2.86
Total Fuel Costs 750.75
ENGINE OIL AND OTHER LUBRICANTS: (.15 * fuel costs) 112.61

65 horse
REPAIRS:(OVERHAUL, PARTS, TIRES, PLUGS, ETC.) tractor
Suggested Repair Cost Factor (See Factors Page) 1.00
Calculated Repairs Over Life of The Machine 15000.00
Calculated Repair Cost Per Hour 1.50
Calculated Repair Cost Per Acre 0.39
Total Repair Costs (Average Annual Estimate) 157.50
TOTAL OPERATING COSTS FOR THE YEAR 1020.86
Estimated Average Operating Costs Per Hour 9.72
Estimated Average Operating Costs Per Acre 2.55
OWNERSHIP COSTS: PwrUnit #1
DEPRECIATION:
Calculated Depreciation Costs Per Hour 1.00
Total Depreciation (Straight Line Method) 105.00
Depreciation Costs Per Acre Annual Use 0.26
OPPORTUNITY COST:
Interest Rate (Real Rates of Interest Should be Used) 5.00%
(Enter 5% as .05, Not 5)
Calculated Average Value of Machine - Equipment 10000.00
Calculated Opportunity Cost 500.00
TAXES:
Taxable Value Rate (See Your County Assessor) 0.04
(Enter Rate as a Decimal - 11 as .11 and Not 11.0)
Millage Rate Per $1000 of Valuation (See Assessor) 300
Calculated Annual Taxes 120.00
INSURANCE:
Premimum Rate Per $1000 of Valuation $5.00
Calculated Insurance Cost 50.00
Total Average Annual Ownership Cost 775.00
Avearage Ownership Cost Per Hour of Annual Use 7.38
Avearage Ownership Cost Per Acre of Annual Use 1.94
65 horse
TOTAL COSTS: tractor
TOTAL COSTS (OWNERSHIP + OPERATING COSTS) 1795.86
Average Total Cost Per Hour of Annual Use 17.10
Does Not Include Labor (Operator) Cost
Average Total Cost per Acre 4.49

Life in Hours and Repair Cost Factors for Machinery

Estimated from Engineering Studies
 Useful Repair
Life Cost
Machine Hours Factor
Stationary, Power Unit 12000 1.2
Tractor, 2 Wheel Drive 12000 1.2
Tractor, 4 Wheel Drive 12000 1.0
Tractor, Crawler 12000 1.0
Combine, PTO 2000 1.0
Combine, Self-Propelled 2000 0.6
Swather, Self-Propelled 2500 1.0
Wagon and Box 5000 1.0
Corn Head 2000 1.0
Corn Picker 2000 0.8
Cutter, Rotary 2000 0.6
Cutter, Stalk 2000 0.6
Fertilizer Equipment, Dry 1200 1.2
Fertilizer Equipment, Liquid 1200 1.2
Floats and Scrapers 2500 0.6
Harvester, Flail 2000 0.8
Harvester, Potato 2500 0.8
Harvester, Sugar Beet 2500 0.8
Hay Conditioner 2500 1.0
Land Plane 2500 0.6
Loader, Ensilage 2000 1.0
Loader, Front End 2500 0.6
Manure Spreader 2500 0.6
Mower 2000 1.2
Rake, Side Delivery 2500 1.0
Seeding Equipment 1200 1.0
Sprayers, Mounted 1200 1.0
Tillage Tools 2500 1.2
Truck, Feed 2500 0.6
Truck, Farm 2000 0.8
Truck, Pickup 2000 0.6
Wagon, Feed 2500 1.0
Baler with Engine 2500 0.6
Baler, PTO 2500 0.8
Blower, Ensilage 2000 0.8
Harvester, Forage, Pull-Type 2000 0.8
Harvester, Forage, Self-Propelled 2000 0.6
Sprayer, Self-Propelled 2000 0.8

Estimates of machinery speed ranges and field

efficiencies. Nebraska tractor test data.
Typical
PwrUnit #2 PwrUnit #3 Implmt#1 Implmt#2 Implmt#3 Implmt#4

Power Unit or Power Unit or

Self Self Implement Implement Implement Implement
Propelled #2 Propelled #3 #1 #2 #3 #4

Not Used Not Used NoTill Drill Not Used Not Used Not Used
0.0 0.0 3.5 0.0 0.0 0.0
0 0 12 0 0 0
0% 0% 75% 0% 0% 0%
0 0 200 0 0 0
0 0 52.38 0.00 0.00 0.00
0.0 0.0 3.82 0.00 0.00 0.00

$0 $0 $40,000 $0 $0 $0
0 0 52 0 0 0
0 0 1,200 0 0 0
$0 $0 $1,000 $0 $0 $0

0.000 0.044
0 0
$0.00 $0.00
0.00 0.00
0.00 0.00
0.00 0.00

Not Used Not Used NoTill Drill Not Used Not Used Not Used
0.00 0.00 1.00 1.20 0.00 0.00
0.00 0.00 40000.00 0.00 0.00 0.00
0.00 0.00 33.33 0.00 0.00 0.00
0.00 0.00 8.73 0.00 0.00 0.00
0.00 0.00 1733.33 0.00 0.00 0.00
0.00 0.00 1733.33 0.00 0.00 0.00
0.00 0.00 33.33 0.00 0.00 0.00
0.00 0.00 8.67 0.00 0.00 0.00
PwrUnit #2 PwrUnit #3 Implmt#1 Implmt#2 Implmt#3 Implmt#4

0.00 0.00 32.50 0.00 0.00 0.00

0.00 0.00 1690.00 0.00 0.00 0.00
0.00 0.00 8.45 0.00 0.00 0.00

5.00% 5.00% 5.00% 5.00% 5.00% 5.00%

0.00 0.00 20500.00 0.00 0.00 0.00

0.00 0.00 1025.00 0.00 0.00 0.00

0.04 0.04 0.04 0.04 0.04 0.04

300.00 300.00 300.00 300.00 300.00 300.00

0.00 0.00 246.00 0.00 0.00 0.00

5.00 5.00 5.00 5.00 5.00 5.00

0.00 0.00 102.50 0.00 0.00 0.00
0.00 0.00 3063.50 0.00 0.00 0.00
0.00 0.00 58.91 0.00 0.00 0.00
0.00 0.00 15.43 0.00 0.00 0.00
Not Used Not Used NoTill Drill Not Used Not Used Not Used
0.00 0.00 4796.83 0.00 0.00 0.00
0.00 0.00 92.25 0.00 0.00 0.00

0.00 0.00 24.10 0.00 0.00 0.00

Implmt#5

Implement
#5

Not Used
0.0
0 Totals for All
0% Pices of Machinery
0 and Equipment
0.00 157.14
0.00

$0 55,000.00
0.0
0.0
$0 6,000.00

750.75
112.61

Not Used
0.00
0.00 55,000.00
0.00
0.00 9.12
0.00 1,890.83
0.00 2,754.20
0.00 43.06
0.00 11.22
Implmt#5 Totals

0.00 33.50
0.00 1,795.00
0.00 8.71

5.00%

0.00
0.00 1,525.00

0.04

300.00
0.00 366.00

5.00
0.00 152.50
0.00 3,838.50
0.00 66.29
0.00 17.37
Not Used
0.00 6,592.70
0.00 109.35

0.00 28.59
 BREAKEVEN ACRES NECESSARY FOR OWNERSHIP
Power Units Included in this Calculation
1.)Total Ownership Costs for Power Unit #1 65 horse tractor
Percent of Ownership Costs to Include in This Calculation
2.)Total Ownership Costs for Power Unit #2 Not Used
Percent of Ownership Costs to Include in This Calculation
3.)Total Ownership Costs for Power Unit #3 Not Used
Percent of Ownership Costs to Include in This Calculation
Implements Included in this Calculation
1.) Total Ownership Costs for Implement #1: NoTill Drill
Percent of Ownership Costs to Include in This Calculation
2.) Total Ownership Costs for Implement #2: Not Used
Percent of Ownership Costs to Include in This Calculation
3.) Total Ownership Costs for Implement #3: Not Used
Percent of Ownership Costs to Include in This Calculation
4.) Total Ownership Costs for Implement #4: Not Used
Percent of Ownership Costs to Include in This Calculation
5.) Total Ownership Costs for Implement #5: Not Used
Percent of Ownership Costs to Include in This Calculation

Total Ownership Costs Include in the Calculation for Break-Even Acreage

6.) Total Operating costs (all machines) per acre

7.)Custom rate/acre for this field operation. (With all Necessary Equipment)

YOUR BREAKEVEN ACREAGE NECESSARY TO JUSTIFY OWNERSHIP

$775
100%
$0
50%
$0
100%

$3,064
50%
$0
50%
$0
50%
$0
20%
$0
20%

$2,307

$11.22
$12.00

2,953
 CALCULATED CUSTOM RATE NECESSARY TO COVER ALL COSTS
This section calculates custom rates for self propelled
equipment or a power unit and implement combinations.

Ownership Costs for Power Units and Implements (MachineryCost Tab)

1.)Ownership costs/acre for all power units entered on the MachineryCost tab
2.)Ownership costs/acre for all implements entered on the MachineryCost tab
Repair Costs for Power Units and Implements calculated on the MachineryCost tab
3.)Repair costs/acre for all power units entered on the MachineryCost tab
4.)Repair costs/acre for all implements entered on the MachineryCost tab
Total Operating Costs (Fuel, Oil and Repairs) calcualted on the MachineryCost tab
5.)Total operating costs/acre for the power unit and implement(s).

6.)Risk or profit cost as a percentage of (Ownership + Repair) costs

THE CUSTOM RATE PER ACRE REQUIRED TO COVER COSTS + PROFIT

 Excluding
Depreciation
$1.94 $1.94
$15.43
eryCost tab
$0.39 $0.39
$8.73 $8.73
ryCost tab
$11.22 $11.22

20.00% 20.00%

$33.88 $15.37