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UF FLAG IFAS PALMM



Budgeting costs and returns
ALL VOLUMES CITATION SEARCH THUMBNAILS PAGE IMAGE ZOOMABLE
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Permanent Link: http://ufdc.ufl.edu/UF00026156/00014
 Material Information
Title: Budgeting costs and returns
Series Title: Economic information report
Portion of title: Budgeting costs and returns for Indian River citrus production
Budgeting costs and returns for for <sic> Indian river citrus production
Physical Description: v. : ; 27 cm.
Language: English
Creator: University of Florida -- Food and Resource Economics Dept
Publisher: Food and Resource Economics Dept., Agricultural Experiment Stations and Cooperative Extension Service, Institute of Food and Agricultural Sciences, University of Florida
Place of Publication: Gainesville
Creation Date: 1987
Frequency: annual
regular
 Subjects
Subjects / Keywords: Citrus fruit industry -- Economic aspects -- Periodicals -- Florida -- Indian River County   ( lcsh )
Citrus fruits -- Periodicals -- Florida -- Indian River County   ( lcsh )
Genre: government publication (state, provincial, terriorial, dependent)   ( marcgt )
serial   ( sobekcm )
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General Note: Title varies slightly: <1992-93>- Budgeting costs and returns for Indian River citrus production.
General Note: Description based on: 1978-79; title from cover.
Funding: This collection includes items related to Florida’s environments, ecosystems, and species. It includes the subcollections of Florida Cooperative Fish and Wildlife Research Unit project documents, the Sea Grant technical series, the Florida Geological Survey series, the Coastal Engineering Department series, the Howard T. Odum Center for Wetland technical reports, and other entities devoted to the study and preservation of Florida's natural resources.
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    Main
        Page 1
        Page 2
        Page 3
        Page 4
        Page 5
        Page 6
        Page 7
    Reference
        Page 8
    Addenda
        Page 9
        Page 10
        Page 11
        Page 12
        Page 13
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        Page 15
        Page 16
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Full Text
(00


Ronald P. Muraro
Stephen H. Futch


Economic Information
Report 247


John W. Hebb





Budgeting Costs and Returns: Indian
River Citrus Production, 1987-88











CEnt!ra Sc!ence
Library
,'f 5 1989
!U.:1er.rit cf F!or d. ,







Food & Resource Economics Department
Agricultural Experiment Stations and
Cooperative Extension Service
Institute of Food and Agricultural Sciences June 1988
University of Florida, Gainesville 32611














ABSTRACT


Estimated costs and returns of growing white seedless grapefruit in
the Indian River area of Florida are presented for the fourteenth consec-
utive year. The format presented may be used by individual growers to
budget costs and returns, utilizing individual data on specific groves.

Key words: citrus, Indian River, budgeting, costs and returns,
seedless grapefruit.





NOTE: Indian River production area refers to the citrus producing
counties on Florida's east coast.

The budget cost items have been revised to reflect current grove
practices being used by growers-e.g., chemical mowing, different
spray materials, higher rates of fertilization, microsprinkler
irrigation, more reset trees, etc. Therefore, the revised costs
shown are higher than previously reported.

The budget costs in this report represent a custom managed
operation. Therefore, all equipment costs are based upon the
average custom rate costs and a 10 percent handling and super-
vision charge is added to the material cost.





ACKNOWLEDGEMENTS


Appreciation is extended to Mrs. Jane Wilson for typing the final
draft of this manuscript.

Appreciation is also extended to the citrus growers and production
managers of the Indian River citrus production area who provided sugges-
tions for the revision of this manuscript.


1
















TABLE OF CONTENTS


Page

ABSTRACT. . . . . .

ACKNOWLEDGEMENTS. . ... .. . .. i

LIST OF TABLES. . .. . . . . iii

INTRODUCTION. . . . .. . . 1

METHOD OF DATA COLLECTION . . . . 1

COSTS AND INPUTS. . . . . 1

THE GROVE SITUATION . . . . . 2

BUDGET COSTS AND RETURNS . . . . 4

HISTORICAL COST TRENDS. . . . . .. 6

REFERENCES. . . . . ... . . 8

ADDENDA . . . . ... . . 9














LIST OF TABLES


Table

1 Schedule of production practices for an Indian River
Florida grapefruit grove, 1987-88 . . 3

2 Calculation of normal production per tree, 1987-88. 4

3 Estimated annual per acre costs and returns for a mature,
white seedless grapefruit grove producing for the fresh
market, Indian River area, 1987-88. ... . .. 5

4 Estimated annual per acre costs and returns for 5-year
average costs and returns for a mature, white seedless
grapefruit grove producing citrus for fresh fruit
packing in Indian River area, 1983-84--1987-88. . 7

5 Estimated annual per acre costs and returns and 5-year
average costs and returns (inflated to 1988 dollars) for
a mature, white seedless grapefruit grove producing
citrus for fresh fruit packing in Indian River area,
1983-84--1987-88. . . . .... ... 7








BUDGETING COSTS AND RETURNS:
INDIAN RIVER CITRUS PRODUCTION, 1987-88


Ronald P. Muraro, Stephen H. Futch and John W. Hebb


INTRODUCTION


Budget analysis provides the basis for many grower decisions.
Budget analysis can be used to calculate potential profits from an
operation, to determine cash requirements for an operation, and to
determine break-even prices. This paper presents a budget constructed
from current data and serves as a format for growers to analyze costs and
returns from their individual records.


METHOD OF DATA COLLECTION


The data presented here were developed by surveying custom opera-
tors, input suppliers, growers, and colleagues at the Citrus Research
and Education Center in Lake Alfred. The survey is conducted annually
in February and March.


COSTS AND INPUTS


Costs for various production inputs are those collected from citrus
growers as well as the average of the data obtained from annual custom
rate and chemical and fertilizer surveys. The costs used in the budget
report are shown in the ADDENDA, Tables 1-A through 8-A. The custom
rate costs are shown in Table 9-A and the various chemical and
fertilizer costs are shown in Table 10-A in the ADDENDA. The budget
costs represent a custom managed operation. Therefore, all equipment
costs are based upon the average custom rate costs and a 10 percent
handling and supervision charge is added to the material cost.


RONALD P. MURARO is associate professor of food and resource
economics and extension farm management economist. He is stationed at
the Citrus Research and Education Center, Lake Alfred. STEPHEN H. FUTCH
is county extension director in Indian River County, Vero Beach. JOHN
W. HEBB is extension agent in St. Lucie County, Ft. Pierce.










Although brand names are used in many of the tables in the ADDENDA,
this does not imply endorsement by the University of Florida. It is
merely an attempt to depict typical production practices.
All tables have a column reserved for the individual growers to
insert data from a particular grove. This will allow a comparison of
the grower's costs with those presented.


THE GROVE SITUATION


Shown in Table 1 are production practices for an Indian River grape-
fruit grove and times during the year when they would likely be performed.
There are two benefits to developing such a table for an individual grove.
First, it shows what work is needed and when, so that operations can be
planned well in advance. Second, it can be helpful if an annual cash flow
analysis is developed to plan financing. The individual grower can
achieve benefits by developing a plan for a particular grove.
Specific production practices vary from grove to grove making it
difficult to define a "typical" grove. Many combinations of practices
and various tree combinations accomplish production of acceptable yields
and returns. Although the example represents a white seedless grape-
fruit grove, the cost and return data is designed to be applicable to
most grove situations. A grower, realtor, or land appraiser can substi-
tute individual grove costs and expected returns into the budget format
and develop a budget for a particular grove. A "your cost" column is
appropriately provided for this purpose in subsequent tables.
In the following budget, above average management and cultural
practices are assumed. Beyond this general assumption, the following
specifics are assumed.


1. A 20-year-old irrigated grove;
2. Variety is white seedless on sour orange rootstock;
3. Tree loss is 3.5 percent annually;
4. Trees are pulled and replaced when production falls
below 50 percent of expected yield;
5. Production is for fresh use;
6. Tree density is 80 trees per acre; and
7. Custom-caretaker providing grove management.
















Table 1.-Schedule of production practices and budget items for an Indian River Florida grapefruit grove, 1987-88a

Month Annual
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec total


Total revenue: 20% Final
deposit payment
Less: Pick & haul cost X
DOC advertisement tax X
Adjusted revenue

Grove expenses:
Disc
Chop
Mow X X X X X
Labor, general grove
work, pull vines X X
Herbicide (1/2 grove acre Spot
equivalent) X X Treatment
Spray: Post bloom/nutritional X
Summer oil/greasy spot X
Fall miticide X
Supplemental miticide
Dust
Fertilizer 600 N/A 600 N/A Dolomite 600 N/A
Hedging and topping Hedge
Brush removal/chop brush Chop brush
Tree removal X
Toung tree care X X X X X
Microjet irrigation ('times/week) 1 1 2 3 3 3 2 2 2 2 i
Miscellaneous (clean ditches) X
Grove taxes including water management X
Interest expense
Annual principal payment on mortgage X
Total grove expenses

Net returns (loss)

Cumulative net returns
aThs Is a suggested schedule of practices. Actual practices would not necessarily be done on the exact schedule shown here.









As a result of tree losses and replacement, the tree ages will
vary. The budget reflects the following age distribution:


Situation


3.5%
3.5%
3.5%
3.55
3.55
52.5%
3.51
26.5%


Boxes/tree


pulled and reset
1 year old
2 years old
3 years old
4 years old
5-19 years old
producing 50% of expected yield
mature producing


Calculation of normal production per tree is shown in Table 2.
Note that the proportion of trees by age column only adds to 89.5
percent since 10.5 percent of the trees are non-bearing.


Table 2.-Calculation of normal production per acre, 1987-88.

Boxes Total
Age of Tree Trees /tree boxes

Total no. Proportion No. ea.
all ages ea. age age ---- No.----
3 years 80 x 0.035 = 2.8 x 1.0 = 2.80
4 years 80 x 0.035 = 2.8 x 1.7 = 4.76
5-19 years 80 x 0.525 = 42.0 x 4.5 = 189.00
Prod. 50% of
exp. yield 80 x 0.035 = 2.8 x 4.0 = 11.20
20 years 80 x 0.265 = 21.2 x 8.0 = 169.60
Total boxes = 377.36

aProportion adds up to 0.895 (89.5 percent) as 10.5 percent of the
trees were non-bearing (pulled and reset, 1 and 2 year old trees).


BUDGET COSTS AND RETURNS


The estimated budget costs and returns for the Indian River grove
situation is shown in Table 3. The budgeted costs represent one possible











Table 3.-Estimated annual per acre costs and returns for a mature, white seedless grapefruit grove producing for the fresh market,
Indian River area, 1987-88

Item Description Amount Tour cost

-- -----Dolla rs--

I. Revenue 377 boxes @ 5.37a 2,024.49
II. Expensesb
Weed control
Mow middles 3 times per year 25.07
Chemical mow (2 times; Table 2-A, Program 06) 20.98
General grove work/sprouting (2 labor hours per acre) 15.68
Herbicide (Table 2-A, Programs 01 & 05) 71.93 133.66
Spray program (Table 1-A, Programs 94, 95, 08, 013 & 014) 242.62
Fertilizer (Table 3-A, Program 15) 133.35
Dolomite (Table 7-A, Program 01) 10.01
Pruning (maintenance)
Topping ($220.00/hr. 4 6.0 A/hr.) 3 yrs. 12.22
Hedging ($210.00/hr. 4 10.0 A/hr.) 2 yrs. 10.50
Remove brush from trees 1.84
Removing/chop brush 12.07 36.63
Tree replacement and care (I through 3 years)
Remove trees 3.0 trees per acre 13.55
Prepare sites and plant resets Including 3.0 trees per acre 32.89
Water, herbicide, Ridomil (Average 5 waterings) 10.07
Fertilizer Including application 23.76 80.27
Microsprinkler irrigation (Table 8-A, Program 93) 95.14
Clean ditches (weed control)53
Total grove care expenses 737.00
III. Management 51 of gross salesC 101.22
IV. Total specified costs 83.22
V. Return to land and trees 1,186.27
VI. Break-even price for total specified costs.

Boxes per acre Boxes per more

375 425 475 525 325 375 425 475 52

$ On-tree price per box $ Delivered-in price per pound solids for eliminationse

2.5 2.23 2.00 1.82 1.67 1.10 1.03 0.98 0.94 0.90

aOn-tree price per box is preliminary: assumes average of all methods of sale (fresh and processed). Price assumes 751 of fruit
harvested packed fresh.
b
Assumes material custom applied; therefore, a 10 percent handling and supervision charge is added to material cost.
cOther methods to estimate a management cost--e.g.. $3.00 per acre per month or 101 of total grove care costs-are used In the
industry. Other selected methods will give a different return to land and trees than reported here.
dOther cost items which are not included in the budget are ad valorem taxes, and interest on grove investment. In addition to
these cost items, overhead and administrative costs, such as water drainage/district taxes, crop insurance, and other grower
assessments, can add up to 12 percent to the total grove care costs.- These costs vary from grove to grove depending on age, location,
and time or purchase or establishment.
eAssumes 4.5 pound solids per box. $1.55 pick and haul cost per box. $0.45 per box handling through packinghouse, and $0.40 per
box delivery to processing plant.


__









citrus production program and were selected from the costs shown in the
ADDENDA tables. The gross revenue estimates are based on the projected
yields in Table 3 and estimated preliminary on-tree prices for the
1987-88 season. Historical on-tree prices for selected Florida citrus
varieties are shown in Table 11-A of the Addenda.
As shown in Table 3, the total revenue for fresh market white
seedless grapefruit is estimated to be $2,024.49 per acre. Total
specified costs are $838.22 and are comprised of grove care costs of
$737.00 plus management cost of $101.22. Return to land and trees is
$1,186.27 and represents net return above fixed costs. The break-even
price for seedless white grapefruit ranged from $2.54 to $1.67 per box
on-tree and $1.10 to $0.90 per pound solids for eliminations at 325 and
525 boxes per acre, respectively.
In addition to the management cost, ad valorem taxes, and overhead
and administrative costs--such as water drainage/district taxes, crop
insurance, and other grower assessments can add up to 12 percent of the
total grove care costs. These costs vary from grove to grove depending
on age, location, and time of purchase or establishment. However, as a
guideline, ad valorem taxes in the Indian River citrus area average $40
to $50 per acre. Average annual debt payment may be approximately $400
per acre ($3,000 average debt per acre @ 12 percent interest over 20
years). These costs should be considered in arriving at a net return to
land and trees (total return minus costs).


HISTORICAL COST TRENDS

Annual budgets of costs and returns for mature, fresh, white
seedless grapefruit in the Indian River area have been developed and
published the past four years. Estimated cost and return histories for
1983-84 through 1986-87 along with 1987-88, and a five-year average are
presented in Table 4. The affects of recent freezes on Florida's annual
grapefruit supply has resulted in a fluctuating on-tree price per box.
However, even with increasing operating costs, annual net return to land
and trees has increased over the five-year period. To allow comparisons
in current values, these same costs and returns, inflated to 1988
dollars, are presented in Table 5.






Table 4.-Estimated annual per acre costs and returns and 5-year average
costs and returns for a mature, white seedless grapefruit
grove producing citrus for fresh fruit packing in Indian River
area, 1983-84-1987-88

On-tree Total Net return
price Gross specified to land
Year /boxa Yield revenue costs and trees

,Doll ars----
1983-84 $2.28 377 859.56 697.84 161.72
1984-85 3.02 377 1,138.54 737.47 401.07
1985-86 3.56 377 1,342.12 741.05 601.07
1986-87 4.38 377 1,651.26 789.03 862.23
1987-88 5.37b 377 2,024.49 838.22 1,186.27

5-yr. avg. 3.72 377 1,402.44 760.72 641.72

a0n-tree prices for all sales methods as reported by the Florida
Agricultural Statistics Service (Table 11-A in the Addenda).

preliminary estimate by author at time of printing and is not a
published price.
Fixed costs such as taxes, debt service, and crop insurance are
not included. A management cost of 5% of gross revenue is included.


Table 5.--Estimated annual per acre costs and returns and 5-year average
costs and returns (inflated to 1988 dollars) for a mature,
white seedless grapefruit grove producing citrus for fresh
fruit packing in Indian River area, 1983-84--1987-88

Inflation On-tree Total Net return
factor price Gross specified to land
Year index /box Yield revenue costs and trees

-----Dollar s-
1983-84 113.2 $2.58 377 972.66 789.95 182.71
1984-85 109.3 3.30 377 1,244.10 806.05 438.05
1985-86 107.3 3.82 377 1,440.14 795.15 644.99
1986-87 103.5 4.53 377 1,707.81 816.65 891.16
1987-88 100.0 5.37 377 2,024.49 838.22 1,186.27

5-yr. avg. 3.92 377 1,477.84 809.20 668.64

Consumer price index for each year inflated to 1988 prices (1988 =
100), with 1988 consumer price index estimated to be 352.3. Consumer
price index for other years are: 1984 = 311.2; 1985 = 322.2; 1986 =
328.4 and 1987 = 340.4.









REFERENCES


Citrus Summary 1986-87. Florida Agricultural Statistics Service.
Florida Agricultural Statistics. Jan. 1988.

DuCharme, E. P. "Tree Loss in Relation to Young Tree Decline and Sand
Hill Decline of Citrus in Florida," Proc. Fla. State Hort. Soc. 84
(1971), pp. 48-52.

Florida Citrus Spray Guide 1988. Univ. of Fla. Coop. Ext. Svc. Cir.
393-N. Gainesville: Jan. 1988.

Koo, R. C. J., editor. Recommended Fertilizers and Nutritional Sprays
for Citrus. Univ. of Fla. Agr. Exp. Sta. Bull. 536D. Gainesville:
March 1984.

Muraro, Ronald P. "Comparative Indian River Citrus Budgets." Lake
Alfred Citrus Research and Education Center (CREC) Report. Lake
Alfred, FL: Apr. 1988.

"Cost for Establishing, Planting, and Maintaining a Citrus
Grove through Four Years of Age." Lake Alfred CREC Report. Lake
Alfred, FL: Nov. 1985.

"Cost of Planting and Maintaining Reset Citrus Trees through
Four Years." Lake Alfred CREC Report. Lake Alfred, FL: Aug.
1985.

"Summary Custom Rate Survey for Twenty-one Indian River Citrus
Caretakers." Lake Alfred CREC Report. Lake Alfred, FL: Apr.
1988.

"Using Mortgage Repayment Capacity to Determine the Maximum
Price to Pay for a Citrus Grove," The Citrus Industry Magazine,
September 1985, Volume 66, No. 9, pp. 15, 17.

Savage, Zach. Citrus Yields Per Tree Age. Agr. Ext. Ser. 60-8. Univ.
of Fla., Gainesville. 1960.








ADDENDA: Listing of Grove Care Programs for Indian River Citrus
Production


Table 1-A.


Table

Table

Table

Table

Table

Table


2-A.

3-A.

4-A.

5-A.

6-A.

7-A.


Table 8-A.


Spray programs. .

Post bloom spray. .
Summer spray. . .
Fall spray. . .
Dormant spray . .

Herbicide . .

Dry fertilizer. .

Liquid fertilizer .

Fertigation .. ....

Nematicides .

Soil amendment. .


Irrigation-annual cost per a

Drip. . . ..
Microsprinkler. . .
Flood . .. ... ..
Volume gun (traveling) .
Drainage ditch annual costs


. . 0. .
. @ @ @ @ @ @ @ @



@@@@


cre.




* .


. . . 9 0


. . .


Table 9-A.


Table 10-A.


Table

Table


11-A.

12-A.


Table 13-A.


A listing of 1988 custom rates reported by twenty-one
Indian River and South Florida citrus caretakers. .

Summary of average fertilizer and chemical price
estimates, 1987-88. . . . .

Historic prices for selected citrus varieties .

Debt which can be supported per $1,000.00 annual
payment capacity. . .. . . .

Amount that can be paid for a grove based on yield
per acre and on-tree price per box. .. . .


Cu = Copper
Fe = Iron
Mg = Magnesium


n = Manganese
Zn = Zinc


aThe costs in the ADDENDA represent a custom managed operation.
Therefore, all equipment costs are based upon the average custom rate
costs and a 10 percent handling and supervision charge is added to the
material cost.


10

10
11
12
13

14

15

17

17

18

18

19

19
19
19
19
19


. . . .














Table 1-A.-Spray programs


POST BLOOM SPRAY


Spray Program #1


Materials/
Ingredients


Cu
Zn
Mn
Sticker
Ground
Application

Total


Spray Program #2


Materials/
Ingredients


Cu
Zn, Mn, Nitrates
Kelthane
Ground
Application

Total


Spray Program #3


Materials/
Ingredients


Dicofol
Cu
Sticker
Ground
Application


Total


Cost/Acre


Your
Cost/Acre


Amount/
Acre

14 lbs
15 lbs
15 lbs
1 pt

500 gals


$16.17
9.57
4.13
1.32


32.36

$63.55


Cost/Acre


Your
Cost/Acre


Amount/
Acre

7 lbs
1 pt
2.5 pts

125 gals


$ 8.09
0.85
12.32

18.50

$39.76


Cost/Acre


Amount/
Acre

5 pts
10 lbs
0.5 pt

250 gals


Your
Cost/Acre


$25.80
11.55
0.66

22.73

$60.74


----------- --- I-UU -- ----- ---i~--W--


- ---------- --C--- ---- -- ---~-


- ----YII- ------ ___











Table 1-A.-POST BLOOM SPRAY (cont'd.)

Materials/
Spray Program #4 Ingredients

Zn, M Fe Nitrates
Cu
Lead Arsenic
Sticker
Ground
Application

Total


Spray Program #5


Spray Program #6











SUMMER SPRAY

Spray Program #7


Materials/
Ingredients

Vendex 4L
Sticker
Ground
Application

Total


Materials/
Ingredients

Lorsban
Cu
Sticker
Ground
Application

Total



Materials/
Ingredients

Oil
Cu
Ethion
Ground
Application

Total


Amount/
Acre

1 pt
7 Ibs
4.5 Ibs
1 pt


500 gals


Amount/
Acre

1.25 lbs
1 pt

500 gals


Amount/
Acre

5 pts
10 lbs
1 pts

500 gals





Amount/
Acre

5 gals
3.75 Ibs
7.5 pts

250 gals


Cost/Acre

$ 0.89
10.23
14.49
1.32

32.36

$59.29


Your
Cost/Acre












Your
Cost/Acre










Your
Cost/Acre












Your
Cost/Acre


Cost/Acre

$22.75
1.32

32.36

$56.13


Cost/Acre

$24.05
11.55
1.32

32.36

$69.28




Cost/Acre

$11.00
4.33
25.66

22.73

$63.72


____~__UU__ ______ ___ __


_ ____~_____~____ ___ I_ ~~__











Table 1-A.-SUMMER SPRAY (cont'd.)
Materials/


Spray Program #8


Spray Program #9











Spray Program #10











Table 1-A.-FALL SPRAY

Spray Program #11


Ingredients


Oil
Cu
Ethion
Ground
Application

Total

Materials/
Ingredients

Oil
Vendex
Cu
Ground
Application

Total

Materials/
Ingredients

Ethion
Cu
Oil
Ground
Application

Total



Materials/
Ingredients

Kelthane
Sticker
Ground
Application

Total


Amount/
Acre Cost/Acre


5 gals
7.0 Ibs
7.5 pts

500 gals


Amount/
Acre

2.5 pts
2 lbs
4 lbs

250 gals


Amount/
Acre

6 pts
4 Ibs
5 gals

500 gals





Amount/
Acre

6 pts
1 pt

250 gals


$11.00
8.08
25.66

32.36

$77.10


Cost/Acre

$ 5.50
36.39
4.62

22.73

$69.24


Cost/Acre

$20.53
4.62
11.00


-32.36

$68.51




Cost/Acre

$29.57
1.32

22.73

$53.62


Your
Cost/Acre










Your
Cost/Acre










Your
Cost/Acre












Your
Cost/Acre


--


mem eme mme eme ewo mem aeu


e


-- I---









Table 1-A.-FALL SPRAY (cont'd.)

Materials/
Spray Program 112 Ingredients

Vendex
Sulfur
Sticker
Ground
Application

Total


Spray Program #13











Spray Program #14









Table 1-A.--DORMANT SPRAY

Spray Program #15


Materials/
Ingredients

Kelthane
Sticker
Aerial
Application

Total


Materials/
Ingredients

Sulfur (Dust)
Aerial
Application

Total



Materials/
Ingredients

Difolatan
Ground
Application

Total


Amount/
Acre

2 Ibs
25 lbs
0.5 pt

250 gals


Amount/
Acre

6 pts
1 pt

15 gals


Amount/
Acre

40 Ibs








Amount/
Acre

6.5 lbs

125 gals


Cost/Acre

$36.39
4.31
0.66


22.73

$64.09


Your
Cost/Acre











Your
Cost/Acre










Your
Cost/Acre










Your
Cost/Acre


Cost/Acre

$29.57
1.32

6.84

$37.73


Cost/Acre

$ 6.89

5.18

$12.07




Cost/Acre

$39.20

18.50

$57.70


_~


_ ___ __ I ___












Table 2-A.-Herbicide


Herbicide Program #1

(Strip/band)








Herbicide Program #2

(Strip/band)







Herbicide Program #3

(Strip/band)







Herbicide Program #4

(Strip/band)








Herbicide Program 15

(Spot herbicide
for grass/brush
regrowth under
trees.)


Materials/
Ingredients

Krovar II
September
Ground Application
(2 times)
Total


Materials/
Ingredients

Roundup
Ground Application
(1 time)
Total


Materials!----- L -~-~


Materials/
Ingredients

Krovar II
Ground Application
(3 times)
Total


Materials/
Ingredients

Round-up
Princep
Ground Application
(1 time)
Total


aeias Amount


Materials/
Ingredients

Round-up

Ground Application
(1 time)
Total


Amount/
Acre

4 lbs



80 gals


Amount/
Acre

2 qts

20 gals


Amount/
Acre

12 Ibs


33 gals


Amount/
Acre

1 qt
4 Ibs


50 gals


Amount/
Acre

1 pt


Cost/Acre

$37.49


22.20
$59.69


Your
Cost/Acre









Your
Cost/Acre








Your
Cost/Acre








Your
Cost/Acre









Your
Cost/Acre


Cost/Acre

$35.84

11.10
$46.94


Cost/Acre

$ 84.72


33.30
$118.02


Cost/Acre

$17.92
11.44

11.10
$40.46


Cost/Acre

$ 8.96


$12.28
$12.24


_ __


'-- ----------I--- ~ ------ -~


-----------------------------------~-~-- ---








Table 2-A.-Herbicide (cont'd.)
Materials/
Herbicide Program #6 Ingredients


(Chemical mow)


Round-up
Ground Application
(1 time)
Total


Table 3-A.-Dry fertilizer


Program f1


Analysis/Material
Applied

17-0-17-3 MgO


Application

Total


Program #2









Program #3








Program #4


Analysis/Material Amount/
Applied Acre Cost/Acre

17-4-17-2.4 MgO 1200 lbs $108.24

Application 2 times 11.90

Total $120.14

Analysis/Material Amount/
Applied Acre Cost/Acre

16-4-16-3 MgO 1500 lbs $130.35

Application 3 times 17.85

Total $148.20

Analysis/Material Amount/
Applied Acre Cost/Acre

15-4-15-2.4 MgO 1500 Ibs $132.00

Application 3 times 17.85

Total $149.85


Amount/
Acre

0.5 pt


Your
Cost/Acre


Cost/Acre

$ 4.49


6.00
$10.49


Amount/
Acre

1600 Ibs

3 times


Your
Cost/Acre


Cost/Acre

$140.80

17.85

$158.65


Your
Cost/Acre


Your
Cost/Acre


Your
Cost/Acre











Table 3-A.-Dry fertilizer (cont'd.)
Analysis/Material
Program #5 Applied

12-2-15-2.4 MgO

Application

Total


Amount/
Acre Cost/Acre

1500 lbs $115.50

3 times 17.85

$133.35


Program #6

(Young Trees-
Solid Set)


Analysis/Material
Applied

8-4-8-.25 Cu-.25 Mn

Application


Total


Program #7

(Young Trees-
Solid Set)


Analysis/Material
Applied

8-4-8-.25 Cu-.25 Mn

Application


Total


Your
Cost/Acre


Amount/
Acre

475 Ibs

1 time


Cost/Acre

$35.34


Your
Cost/Acre


4.03

$39.37


Amount/
Acre

302 Ibs

1 time


Cost/Acre

$21.69


Your
Cost/Acre


4.03

$25.72


_ ______~_ __ ___


-------------------- -Y-----~--- WI---UII --









Table 4-A.-Liquid fertilizer (Boom application)


Program #1









Program #2


Analysis/Material
Applied

12-0-12

Boom Application

Total

Analysis/Material
Applied

12-0-12
Krovar II

Boom Application

Total


Table 5-A.-Fertigation


Program #1

(Supplemental)







Program #2

(Supplemental)







Program #3

(Exclusive)


Analysis/Material
Applied

10-0-10

Application

Total

Analysis/Material
Applied

8-4-8

Application

Total

Analysis/Material
Applied

8-0-8


Application

Total


Amount/
Acre

1500 lbs

3 times


Amount/
Acre

1500 Ibs
4 lbs

3 times


Your
Cost/Acre








Tour
Cost/Acre


Cost/Acre

$114.75

33.00

$147.75


Cost/Acre

$114.75
37.49

33.00

$185.24


Amount/
Acre

400 lbs


hmount/~ ,


Amount/
Acre

750 lbs


Amount/


Amount/
Acre

2000 Ibs


Your
Cost/Acre








Your
Cost/Acre








Your
Cost/Acre


Cost/Acre

$29.93

2.41

$32.34


Cost/Acre

$44.90

4 .30

$49.20


Cost/Acre

$115.50

12.00

$127.50


---


---- ---~


------










Table 6-A.-Nematicides


Program #1


Analysis/Material
Applied

Temik 15 G


Application

Total


Program #2


Analysis/Material amount/


Analysis/Material
Applied

Nemacur 15 G


Application

Total


Table 7-A.-Soil amendment


Program 11

(Every 3 years)


Analysis/Material
Applied

Dolomite (Delivered)
Application

Total
(Average 1/3 Ton


Amount/
Acre

1 ton
1 time


Applied/Yr)


Program #2

(Every year)


Analysis/Material
Applied

Dolomite (Delivered)
Application


Total


Amount/
Acre

33 lbs


Cost/Acre

$116.16


Your
Cost/Acre


13.33

$129.49


Amount/
Acre

67 lbs


Tour
Cost/Acre


Cost/Acre

$198.25

13.33

$211.58


Your
Cost/Acre


Cost/Acre

$22.03
8.00

$30.03
$10.01


_ ~_ An ount/


Amount/
Acre

1000 lbs


Your
Cost/Acre


Cost/Acre

$11.02
8.00

119.02





19



Table 8-A.-Irrigation-annual cost per acre


DRIP


Operating


Maintenance of System

Total Cost


Program #1

$47.21
(Electric)

30.37

$77.58


Your
Cost/Acre


Program #2

$32.10
(Diesel)

4.93

$67.03


MICROSPRINKLER


Operating


Maintenance of System

Total Cost


Program #3

$59.02
(Electric)

36.12

$95.14


Your
Cost/Acre


FLOOD


Program #4

$40.13
(Diesel)

41.54

$81.67


VOLUME GUN


Your
Cost/Acre


Your
Cost/Acre









(TRAVELING)


Operating


Maintenance of System

Total Cost


Program #5

$76.87


5.50

$82.37


Your
Cost/Acre


Program #6

$176.73
(Diesel)

14.99

$191.72


DRAINAGE DITCH ANNUAL COSTS


Ditches/Canals Maintenance
Weed Control in Ditches/Canals
Water Control: In/Out of Ditches and Canals

Total


Program #7

$23.45
7.57
30.63

$61.65


Your
Cost/Acre


Tour
Cost/Acre


----------------I--~~'~~'~~~~~~~~'I --


Tour
Cost/Acre











Table 9-A.-A listing of 1988 outom rates reported by twenty-on Indian River and South Florida citrus caretakers


Range of Rate Avarte
Grove Practice Unit Reported ate Cmments


CULTIVATION:


Hand Hoe/Hand Labor
machine Hoe
lotovate
Disc 7'
Now:
Off-Set or Side NHoer
5-7-
9-10'
15-16'
V-hower
Sickle NHwer
Herbicide (Strip/Band)
Herbicide' (Strip/Band)
Herbicide (Chemical Now)
Herbicide (Trunk-to-Trunk)
Temik/Neacur
Plow
Backhoe
Water Furrow Disc
Mate- Furrow Cleaner
Vine Puller

SPRATING:z

Hand Sprayer
Hand Sprayer
Boom Sprayer
Kindkelder
Dilute, 500 gal, tank
2X, 500 gal. tank
3X, 50C gSl. tank
*X, 500 gal. tank
6X, 500 gal. tank
Aeriil
Aerial

DUSTING:z

Aerial Application
Aerial Application

FEXTILIZING:z

Liquid Boom Application
Nitrogen Mix-Fertilizer
Mix Fertilizer & Herbicide
Dry (Bulk)
Dry (Bulk)
Dry (Bulk)
Lime or Dolomite
Lime or Dolomite
Fertilize Young Trees:z
Hand Spread
Fert. Spreader
Inject Liquid Fertilizer i
Aerial

IRRIGATION:

Rotary Ditcher or Auger
Water Trencher
Water Truck
Ring Young Trees:
Hand Labor
Mechanical
10"-12" Portable Pump
3-Wheeler for Hicrojet

REMOVING TREES:

Front End Loader


Hour 6 6.50-S 9.35
Hour 30.00- 35.00
Hour 21.50- 30.00
Hour 17.50- 25.00


Hour
Hour
Hour
Hour
Hour
Hour
Hour
Acre
Hour
Per Hour:
Hour
Hour
Hour
Hour
Hour
Hour


19.00- 22.00
20.00- 21.00
20.00- 26.00
22.00- 30.00
20.50- 26.00
20.50- 27.00
21.00- 30.00
9.00- 14.00
22.00- 28.00
$22.00; Per Acre:
12.00- 15.00
17.50- 26.00
31.00- 31.00
21.00- 30.00
22.00- 25.00
20.50- 25.00


Hour $ 29.30-$ 31.00
Hour 31.30- 49.50
Hour 34.00- 36.35
Acre
Tank 18.00- 27.50
Tank 26.75- 41.50
Tank 11.25- 55.00
Tank 60.00- 65.00
Tank 70.00- 80.00
Fixed Wing: Avg. $3.88/scre
Filed Wing: Avg. $4.33/acre



Lb
Acre 14.75-8 5.60



$11.00/acre; $26.00/hour
Acre $ 10.35 6 11.00
Acre
Hour 24.25- 37.00
Acre 5.00- 6.75
Ton 13.50- 15.00
Acre 6.00- 7.00
Hour 24.25- 35.00


Hour
Hour
nto Irrigation
Lb


$ 7.14
32.50
25.85
21.92


Plus transportation; One reporting base wage rate plus


One reporting $8.00/scre


20.50
21.61
21.09 One reporting $6.25/lre (one way)
25.07 Average $7.13/acre (one way)
22.83
23.42 One reporting In-out moer at $22,00/hour
26.57 Plus materials
11.10 Plus materials
25.00 One reporting $6.00/acre
$11.00; One reporting 621.00/hour for Herbicide Wiper
13.33
21.63
32.61
21.11
22.58
22.75


A 31.58 Includes one wor
42.95 Includes two wor
35.03 Includes one wor
16.50
22.80 Average $36.50/h
32.36 Average 142.50/h
15.46
62.50
T4.00
Helicopter: 64.50/scre
Helicopter: $9.37/acre


ker
kear
ker

our
our



S5 gallons per ecre
S10 gallonss per acre


10.O 60 lbs. per acre
A 5.18 60 lbs. per acre


$ 10.814
11.00
32.88
5.95
14.25
6.33
29.63


One reporting $34.14/ton for material and application


6.50- 9.35 7.61 Plus transportation; One reporting $51.00/hr whi:h inc
22.00- 30.00 21.25 \tractor, trailer, and
System; One reporting $30.00/hour for tractor, driver, and fertilizer tank
*4.U


Hour t 21.00-$ 22.00
Hour
Hour 20.00- 24.00

Hour 6.50- 9.35
Hour
Hour 18.00- 22.00
Hour 12.50- 14.00


$ 21.67
30.00
20.94

7.814
22.00
20.25
13.00


Equipment only


Plus transportation

Includes pump rate and set-up charge


Hour $ 37.50-$ 45.00 $ 40.64 Average range 10 to 50 trees per hour


(OVER)













Table 9-A.-A listing of 1966 eout rates reported by twnmty-ee Indian iver and South floride eitrus caretakers (cont'd.)


sWnge f Rate AveraT e
Grove Praetlee Unit leportd Dote Cments


PRUNING:

General Pruning (Per Nan) Mour 6.50-8 9.35 7.4 Plus trrmportation
Edging:
Single Side Nour 56.00- 65.00 60.50 I to eres/hour
Double Sided os oedger hour 72.50 4 to trees/hour
Double Side (Tractor Pulled) Hour 3.00- 87.50 86.25 to 15 acrs/hour
Double Side (Self
Propelled) Hour 180.00- 210.00 210.00 g to 30 cres/hour depending on wood size
Topping:
Tractor Pulled Topper Hour 85.00- 37.50 86.25 I to 4 ares/hour depend"Ing n wood site; One reporting
Single Boom (Self \S?5/acre
Propelled) Hour 220.00 10 to 20 sares/hour depending an uood size
Double Boom (self
Propelled) Hour 400.00 15 to 30 screl/hour depending on wood raise
Lib Lifter/Tree Skirt
Triaer Hour 40.00- 45.00 42.50
Tree Skirt Trimer Acre 17.25
Moving Brush:
Bush Hog Hour 48.00
Chop Brush Hour 22.25- 30.00 26.17
How Brush Hour 25.00

SANK AND UNBANK TREES:

Hand Labor Hour $ 6.50-S 9.35 $ 7.83
Hand Labor Per Tree S0.Od
Tree Wraps Per Wrap 70.0(- 90.0d 92.0 Plus labor

OTHER CUSTOM IRATS:

Truck with Driver Hour $ 17.50-$ 25.00 19.73 One reporting 606/mile; 36.00/hour/trip
Tractor with Driver Hour 17.50* 21.00 19.17 One reporting -WD tractor w/driver-8?2.75/hour
Power Saw with Operator Hour 14.00- 17.50 15.08
Power Saw u/out Operator Hour 4.00- 7.50 6.00
Plant Trees (Solid-Set) Each 1.00- 1.75 1.33 Average $2.15/tree for resets
Bush Hog Hour 22.00- 23.50 22.75
Middle Buster Hour 20.00- 22.00 21.00 With tractor nId driver
Mound Builder hour 22.00- 25.00 22.90
Dirt Pan 2.5 yd-$20.00/hour; I yd-27.00/hour
Skilled Labor Hour 8.50- 15.00 12.24
Mechanic Labor MHur 12.00- 20.00 16.25 Average 200/eek; Average labor a truck $31.13/hour
Irrigation Manger Hour 22.50
Grove Managment Charge Acre 1.50- 5.00 3.22 In addition to eoretaking charges; supervisln grove care
Per Month Acre 4.00- 10.00 6.33 Supervising grove care operations and operationss
Irrigation anagrment/ \marketing of fruit
Maintenance Per Month Acre 2.50
Consulting 175 per hour

Other Charge Reported 101-151 supervision charge for all materials and outside contracting

Total Acrea e Provided
Grove Service to: Acre 650- 3,400 1,862 Total acres reporting: 26,071

Aerial Spraying Acre 14.000- 20,000 16,333 Total acres reported: 9,000


"Plus materials. Caretakers reporting rates include labor, tractor and sprayer; supply truck included by most caretakers.

YCalculated by dividing the total number of caretakers reporting a grove practice rate into the au of the rates reported.


Source: bonald P. Nuraro, citension Farm Manaement Econmist, Lke Alfred CDEC, April 1988.







22



Table 10-A.-Aomary of evorlge fertilizer and chemical price estimates


ange of Price Average
Item Unit Reported Price


CHEMICALS


Alette 80WP
Senl te
Borates
Carsl SP
Chlorobmzsilate
Cowlte
Copper
Cygon
Diazinon IE
Dioofol 1HF
gthion
Guthion
Keltha e W
Lorsban tEC
Lorsban 150
Malathion
Manganese
Nethobromide 98/2
Mocep EC
Mocap 10G
Meacur 3EC
NeIcour 15G
Oil (Soluble)
Ridomil 2E
lidomil 5G
Sticker
Sulphur 6F
Sulphur Dust
Supracide
Tmik 15G
Vapam
Vendex 50W
Vorlez
Vorlex 201
Zinc
Zineb
Herbicide. DeVine
Fusilade 2000
Grmozone (Paraquat)
Hyvar L
Hyvar I
KIrmex
Direx
Krovar I
Irovar II
Princep
Bound-up (1 gal)
lound-up (2 gal)
Sia-Trol (Smazline 100)
Sol ice
Trfelan


Ib.
lb.
lb.
Ib.
gal.
gal.
lb.
gal.
gal.
gal.
gal.
gal.
gal.
gal.
lb.
gal.

lb.
lb.
gal
lb.
gal.
olb.
gal.
gal.
lb.
gal.
gal.
ton
gal.
lb.
gal.
lb.
gal.
gal.
lb.
lb.

ga1.
gal.
gal.
gal.
lb.
lb.
gal.
lb.
lb.
lb.
gal.
gal.
gal.
lb.
gal.


* 10.65-$
12.75-
0.55-
25.00-
35.00-
54.00-
0.92-
25.00-
23.90-
36.10-
23.00-

33.95-
32.50-
1.52-
11.15-
0.20-
1.45-


19.65-
2.64-
1.70-
125.00-
7.25-
8.50-
4.00-
278.00-
31.00-
3.15-
5.50-
15.85-
16.10-


12.30
11.75
0.57
25.95
36.00
61.00
1.16
33.35
39.55
40.80
28.10

37.00
41.05
1.60
17.95
0.30
1.70


57.33
2.85
2.10
112.00
7.65
10.50
4.50
310.00
38.65
3.17
8.25
18.40
18.00


* 11.33
13.31
0.56
25.32
35.30
55.17
1.05
30.84
29.72
37.19
21.89
25.00
35.86
31.95
1.55
15.86
0.25
1.58
52.50
0.95
52.78
2.69
2.00
131.31
7.38
9.61
4.25
313.37
36.31
3.20
7.08
16.54
16.55
17.00
0.58
2.60
64.00
91.45
10.57
44.16
11.18
3.12
16.62
7.06
8.52
2.60
79.02
65.17
10.73
11.38
30.81


0.51- 0.68
2.15- 2.77


88.00-
38.00-
41.55-
10.40-
3.25-
16.00-
6.70-
7.95-
2.47-
72.30-
64.50-
10.50-
10.50-
29.87-


97.50
11.00
50.00
12.51
3.50
17.35
8.10
9.66
3.20
88.80
66.55
11.40
13.64
33.50







Table 0l-A.--Suary of average fertilizer nd amica prioe estimates (oont'd.)


Range of Price Average
Item Unit Reported Price


FIRTILIZE (0FB Prloe 0 Plant)


Dry Mix
16-0-16
16-0-16-4Mgo
15-4-15-2. II
12-2-15-2.4o
8-8-8
8-8- u/minors
8-2-8
8-2--2 w/minors
6-6-6 wM/mnors


$127.27-$165.00
144.47- 168.50


130.12-
104.95-
122.30-
90.00-
106.60-
110.00-


165.00
145.00
112.00
133.00
137.92
129.00


Liquid Mix
6-0-12
8-0-8
8-2-8
8-4-8
9-3-9
9-4-9
10-0-10
10-2-10
12-0-6
12-3-6


Slow Release (Toung Tree)

Formulation Analysis
8-a-10 (251 organic)
IBDU
8-4-8
10-3-7
14-3-3 (Briquette)
Omocote
17-6-9 plus minors
Om Scott
8-4-8 (bagged)

Other Fertilizer Materials
Ammonium Nitrate (215 Liquid)
Amonlum NItrate (Dry)
mmonium Sulfate
Caleli Nitrate
Dolomite (at mine)
High Cal Lime (at mine)
Muriate of Potash
Super Phosphate
Triple Superphosphate
Average Delivery Cost


ton


82000.00-82120.00





8 90.00-$105.00
150.00- 165.00
86.00- 110.00
162.00- 180.00
9.10- 11.25
8.20- 8.50
155.00- 178.00
115.00- 132.00
180.00- 192.50
6.00- 10.00


SOURCE: Ronald F. kararo. Extension Far. Management Koenomiat, CREC. Lake Alfred.


SOURCE: Ronald F. Muraro, Extension Faor
Florida. April 1988.


8142.92
155.95
151.27
148.01
124.78
131.36
114.66
126.88
122.12


$ 95.00
105.00
99.25
107.00
128.00
131.00
111.00
120.00
107.28
118.00


$148.50


246.00
332.00
2100.00


$2060.00


450.00


8 97.50
154.50
94.20
166.60
10.03
8.35
164.73
125.00
184.91
8.25


Management Economist, CREC, Lake Alfred,









Table 11-A.-Historic pricesa for selected citrus varieties
Variety

Crop Early and mid-e Late season Temple Tan- Tan- Seedy e Seedless grapefruit
year season oranges oranges oranges gerines gelos grapefruit (white) (pink)

1957-58 $1.57 $3.17 $2.33 $2.40 $3.75 $0.74 $1.11 $1.30
1958-59 2.65 3.12 2.87 1.62 3.55 0.83 1.11 1.44
1959-60 1.82 2.07 2.41 2.59 4.29 0.91 1.16 1.05
1960-61 2.86 3.08 3.43 1.51 4.91 0.84 1.05 0.99
1961-62 1.93 1.81 2.17 2.04 3.36 0.51 0.68 0.86
1962-63 2.17 3.50 3.09 3.02 4.66 0.74 1.29 1.81
1963-64 4.43 4.45 4.45 3.18 4.83 1.91 2.24 2.54
1964-65 2.57 2.28 2.77 2.68 4.00 1.13 1.51 1.82
1965-66 1.44 1.79 1.80 2.14 2.85 1.09 1.39 1.64
1966-67 0.81 1.08 0.88 1.06 1.64 0.60 0.73 0.94
1967-68 1.86 2.28 2.79 4.29 3.22 1.48 2.05 2.48
1968-69 1.56 1.83 2.22 2.55 2.47 0.81 0.98 1.15
1969-70 1.15 1.13 1.47 2.23 1.13 1.42 1.72 1.92
1970-71 1.10 1.91 1.91 1.88 1.04 1.68 1.89 2.15
1971-72 1.98 2.11 1.95 2.97 1.69 2.01 2.27 2.69
1972-73 1.43 1.71 1.95 2.37 1.39 1.63 2.06 2.53
1973-74 1.38 1.59 1.64 2.82 1.25 1.31 1.58 2.12
1974-75 1.46 1.82 1.68 3.05 1.45 0.87 1.55 2.59
1975-76 1.69 1.88 1.79 3.02 1.42 0.85 1.29 2.23
1976-77 1.89 2.63 2.16 3.29 1.42 1.20 1.49 2.04
1977-78 3.90 4.40 3.92 4.79 3.29 1.45 1.47 2.09
1978-79 4.44 4.95 4.89 4.99 3.90 1.84 2.21 3.13
1979-80 3.59 3.89 2.89 4.25 2.87 3.04 3.12 3.80
1980-81 3.67 4.63 4.21 5.45 3.92 2.92 3.46 4.22
1981-82 4.27 4.29 4.01 6.23 3.58 1.13 1.92 2.80
1982-83 4.88 5.41 3.99 7.57 4.37 0.70 1.51 3.20
1983-84 5.09 6.72 5.34 5.93 4.28 2.01 2.08 4.05
1984-85 7.30 6.88 5.59 15.91 7.08 2.58 3.02 4.84
1985-86 3.92 3.97 3.01 12.69 4.06 3.27 3.56 4.98
1986-87 4.12 5.64 3.45 11.96 3.64 4.25 4.43 5.77


a0n-tree average price per box (1-3/5 bushel
box equivalents) for all methods of sale
minus pick and haul charges.
Source: Florida Agricultural Statistics Service.


bNavel and Hamlin
Cparson Brown and Pineapple
dValencia


eDuncan
Marsh (white) or pink











Table 12-A.-Debt which can be supported per $1,000.00 annual payment capacity

Rate

Years 9.01 9.5% 10.05 10.5% 11.0% 11.5% 12.0% 12.5% 13.0% 13.5% 14.0% 14.5% 15.05


1 917 913 909 905 901 897 893 889 885 881 877 873 870
2 1,759 1,747 1,754 1,724 1,713 1,701 1,690 1,679 1,668 1,657 1,647 1,636 1,626
3 2,531 2,509 2,487 2,465 2,444 2,423 2,402 2,381 2,361 2,341 2,322 2,302 2,283
4 3,240 3,204 3,170 3,136 3,102 3,070 3,037 3,006 2,974 2,944 2,914 2,884 2,855
5 3,890 3,840 3,791 3,743 3,696 3,650 3,605 3,561 3,517 3,475 3,433 3,392 3,352
6 4,486 4,420 4,355 4,292 4,230 4,170 4,111 4,054 3,998 3,942 3,889 3,836 3,784
7 5,033 4,950 4,868 4,789 4,712 4,640 4,564 4,492 4,423 4,355 4,288 4,224 4,160
8 5,535 5,433 5,335 5,239 5,146 5,056 4,968 4,882 4,799 4,718 4,639 4,562 4,487
9 5,995 5,875 5,759 5,646 5,537 5,431 5,328 5,228 5,132 5,038 4,946 4,858 4,772
10 6,418 6,279 6,145 6,015 5,889 5,768 5,650 5,536 5,426 5,319 5,216 5,116 5,019
11 6,805 6,647 6,495 6,348 6,207 6,070 5,938 5,810 5,687 5,568 5,453 5,341 5,234
12 7,161 6,984 6,814 6,650 6,492 6,341 6,194 6,054 5,918 5,787 5,660 5,538 5,421
13 7,487 7,291 7,103 6,923 6,750 6,583 6,424 6,270 6,122 5,979 5,842 5,710 5,583
14 7,786 7,572 7,367 7,170 6,982 6,801 6,628 6,462 6,302 6,149 6,002 5,861 5.724
15 8,061 7,828 7,606 7,394 7,191 6,997 6,811 6,633 6,462 6,299 6,142 5,992 5,847
16 8,313 8,062 7,824 7,596 7,379 7,172 6,974 6,785 6,604 6,431 6,265 6,106 5,954
17 8,543 8,276 8,022 7,779 7,549 7,329 7,119 6,920 6,729 6,547 6,373 6,207 6,048
18 8,756 8,471 8,201 7,945 7,702 7,470 7,250 7,040 6,840 6,649 6,467 6,294 6,128
19 8,950 8,650 8,365 8,095 7,839 7,596 7,366 7,146 6,938 6,739 6,551 6,370 6,198
20 9,129 8,812 8,514 8,231 7,963 7,710 7,469 7,241 7,025 6,819 6,623 6,437 6,259
25 9,823 9,438 9,077 8,739 8,422 8,123 7,843 7,579 7,330 7,095 6,873 6,663 6,464
30 10,274 9,835 9,427 9,047 8,868 8,364 8,055 7,766 7,496 7,242 7,003 6,778 6,566
35 10,567 10,087 9,644 9,234 8,855 8,503 8,175 7,870 7,586 7,320 7,070 6,836 6,617
40 10,757 10,247 9,779 9,348 8,951 8,587 8,244 7,928 7,634 7,361 7,105 6,866 6,642

aExample. Assumes a $10,000 after tax income at 11.5% interest rate and a 15-year term mortgage, the total
debt which can be supported is $69,970 ($6,997 x 10). At 11.5% interest rate and a 20-year term mortgage, the
total debt which can be supported is $77,100 ($7,710 x 10).










Table 13-A.-Amount that can be
mortgage repayment


paid for a grove based upon on-tree price per box, yield per acre and
capacity


On-tree price per boxb
Boxes
/Acre $3.50 $4.00 $4.50 $5.00 $5.50 $6.00 $6.50 $7.00 $7.50 $8.00

..--------Dollars per acre----- -----D---------- --

250 837 1,674 2,511 3jJ _c 4,186 5,023 5,860 6,697 7,534 8.371
275 1,423 2,344 3,265 4,186 5,107 6,027 6,948 7,869 8,790 9,711
300 2,009 3,014 4,018 5,023 6,027 7,032 8,037 9,041 10,046 11,050
325 2,595 3,683 4,772 5,860 6,948 8,037 9,125 10,213 11,301 12,390
350 3,181 4,353 5,525 6,697 7,869 9,041 10,213 11,385 12,557 13,729
375 3,767 5,023 6,279 7,534 8,790 10,046 11,301 12,557 13,813 15,069
400 4,353 5,693 7,032 8,371 9,711 11,050 12,390 13,729 15,069 16,408
425 4,939 6,362 7,785 9,209 10,632 12,055 13,478 14,901 16,324 17,747
450 5,525 7,032 8,539 10,046 11,553 13,059 14,566 16,073 17,580 19,087
475 6,111 7,702 9,292 10,883 12,473 14,064 15,655 17,245 18,836 20,426
500 6,697 8,371 10,046 11g,20 13,394 15,069 16,743 18,417 20,091 21,766
525 7,283 9,041 10,799 12,557 14,315 16,073 17,831 19,589 21,347 23,105
550 7,869 9,711 11,553 13,394 15,236 17,078 18,919 20,761 22,603 24,445
575 8,455 10,381 12,306 14,231 16,157 18,082 20,008 21,933 23,859 25,784
600 9,041 11,050 13,059 15,069 17,078 19,087 21,096 23,105 25,114 27,123
625 9,627 11,720 13,813 15,906 17,999 20,091 22,184 24,277 26,370 28,463
650 10,213 12,390 14.566 16,743 18,919 21,096 23.273 25,449 27,626 29,802
675 10,799 13,059 15.320 17,580 19,840 22,101 24,361 26,621 28,881 31,142
700 11,385 13,729 16,073 18,417 20,761 23,105 25,449 27,793 30,137 32,481
725 11,971 14,399 16,827 19,254 21,682 24,110 26,537 28,965 31,393 33,820
750 12,557 15,069 17,580 20,091 22,.603 25,114 27,626 30,137 32,649 35,160


a
Assumes a constant on-tree price per box over the analysis period; grove


care cost of $750 per acre;


income tax rate of 335; 15-year mortgage at 11.5% (APR) interest rate; and 30% of the purchase price
down payment. Due to the different tax depreciation options available to citrus grove purchasers, a
depreciation expense allowance was not included in estimating the tax liability.


as a


bThe on-tree price represents the constant fruit price over the analysis period.

CExample. At $5.00 constant on-tree price per box, a buyer could pay $3,349 per acre for a grove
averaging 250 boxes per acre and could pay $11,720 per acre for a grove averaging 500 boxes per acre.