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Table 12: Costs and Returns for Fresh Market Peaches, Per Acre

Year of Land Preparation, Conventional Production Practices,
Northeastern United States, 1996

ITEM UNIT PRICE QUANTITY TOTAL
         
Receipts        
Peaches bushel      
         
Variable Costs       $ -
Custom        
Calcium Application ton $ 27.65 2 $ 55.30
High Tensile Deer Fencinga linear foot $ 3.75 167 $ 626.25
Cover Crop        
Fescue Seed lb $ 1.25 30 $ 37.50
Labor        
Operator hour $ 14.48 1.39 $ 20.13
Regular Hired hour $ 10.13 26 $ 263.38
Diesel Fuel      
Tractors gallon $ 0.969 7.59 $ 7.35
Repair & Maintenance        
Tractors acre $ 3.36 1 $ 3.36
Implements acre $ 6.33 1 $ 6.33
Sub-Total       $ 1,019.60
Interest on Operating Capitalb acre 10% 1 $ 50.98
Total Variable Costs acre   1 $ 1,070.58
Returns Above Variable Costs acre   1 $ (1,070.58)
Fixed Costs        
Tractors acre $ 11.36 1 $ 11.36
Implements acre $ 11.80 1 $ 11.80
Land Charge acre $ 100.00 1 $ 100.00
Total Fixed Costs acre   1 $ 123.16
Total Fixed & Variable Costs acre   1 $ 1,193.74
Management Feesb acre 7% 1 $ 76.56
Total Costs acre   1 $ 1,270.30
Net Returns acre   1 $ (1,270.30)

aBased on 25 acre orchard. Actual cost will depend on size and shape of parcel.
bSee text for calculation assumptions.

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