Interactive Internet-based cattle feeding assistance material

Descriptions and Calculations - CalfWEB

Breakeven Calculations

Input

Your zip code  --the Zip code for your home mailing address

Description (name, city) -- provide a description, preferably your name and city. This cell is not archived for later use please use a description that is meaningful to you.  

Cattle type (calves, yearlings, etc) -- provide a description of the type of cattle to be fed, e.g. angus steer calves, crossbred yearlings

Sex -- provide the sex of the group to be fed. For example: bulls, steers, cows, heifers, mixed

Purchase date (month/day/year) -- input the date as month/day/year (1/1/2001) for the date cattle are purchased  

Head count -- the number of cattle purchased

Average in-weight (lb)  -- the average weight of cattle purchased, usually a shrunk weight

Purchase cost per pound ($/lb) -- the average purchased price for cattle delivered including cattle cost, trucking, commissions, fees, etc.

  Projected sale weight (lb) -- the average weight of cattle at selling,  usually a shrunk weight.  Both in-weight and sale weight should be shrunk weights 

Projected average daily gain (lb) -- the project rate of average daily gain during the feeding period.

Ration cost per ton, as fed ($/lb) -- the projected average price per ton of a completely balanced mixed feed as delivered to the feedbunk.  This would include a feed markup for yardage if yardage is not a separately calculated.

Feed conversion, as fed (lb) -- the amount of fed (as fed basis or as delivered to the feedbunk) required to sustain one pound gain in shrunk body weight.

Daily yardage cost per head ($/head) -- the cost of housing an animal in the feedlot for one day.  This should include electricity, water, depreciation on pens and buildings and other costs required to hold the animal.  This value may be zero if yardage is included in feed markup.

Percent death loss -- the percentage of animals expected to die during the feeding period.

Vet and Medicine expenses ($/head) -- the cost per head for veterinary services and medications including dewormers, implants, vaccines, antibiotics, etc.

Marketing expenses -- all costs for marketing including commission fees, weighing fees, brand inspection, beef commission fees, etc.
Marketing expenses per head = marketing expenses per head * (100 - Percent death loss) / 100
Marketing expenses per pen = marketing expenses per head * (number of head * (100 - Percent death loss) /100

Trucking cost -- amount of freight, shipping, or trucking expenses incurred during or after the feeding period. 
Trucking cost per head = trucking expenses per head * (100 - Percent death loss) / 100
Trucking cost per pen = trucking expenses per head * (number of head * (100 - Percent death loss) / 100)

  Miscellaneous expenses ($/head) -- cost per head for other expenses incurred from feeding and marketing and includes labor and management costs.

Price protection cost ($/head) -- cost per head for price protection for cattle and feeds including hedging and options cost.                             

Interest rate (%) -- Interest rate for cattle and feeds.  Cattle will incur interest cost during the feeding period minus the cash equity per head.  Feeds and variable costs (except marketing and trucking) will incur interest for one half of the average cost during the feeding period.

Cash equity per head ($/head) -- the amount of equity per head required for feeding

 

Output
Per head / Per Pen

Projected sale date -- the date cattle are expected to be sold. 
Projected sale date per head = purchase date +((projected sale weight- average in weight )/ projected average daily gain)
Projected sale date per pen = purchase date +((projected sale weight- average in weight)/ projected average daily gain)                            

Total pounds gained -- Total weight gain during the feeding period.
Total pounds gained per head = (projected sale weight - average in weight) * [(projected sale weight - begining weight) * (100 - percent death loss) / 100]
Total pounds gained per pen= head count * (projected sale weight - average in weight) * [(projected sale weight - begining weight) * (100 - percent death loss) / 100]

Days on feed -- the average number of days the pen was fed
Days on feed per head = (individual projected sale weight- average in weight)/ projected average daily gain
Days on feed for pen = (projected sale weight- average in weight)/ projected average daily gain

Cattle cost ($) -- the total cost for cattle placed in the feedlot including purchase price, commission charges, freight and other predelivery charges
Cattle cost per head = purchase cost per pound * average in-weight 
Cattle cost per pen = purchase cost per pound * average in-weight * head count

Feed cost -- cost for feed during the feeding period
feed cost per head = ((ration cost per ton / 2000) * feed conversion) / total pounds gained
feed cost per pen = ((ration cost per ton / 2000) * feed conversion) / total pounds gained * head count

Yardage cost -- cost for yardage during the feeding period
Yardage cost per head = daily yardage cost  * days on feed
Yardage cost per pen = daily yardage cost  * days on feed * head count                                           

Vet cost -- cost for veterinary and medicine during the feeding period
Vet cost per head = vet and medicine expenses
Vet cost per pen = vet and medicine expenses * head count                   

Miscellaneous costs -- cost per head for other expenses incurred
Miscellaneous costs = miscellaneous expenses
Miscellaneous costs = miscellaneous expenses * head count

Interest cost -- amount of interest incurred for the cost of cattle (minus cash equity) and one-half of the feed cost
Interest cost per head = ((cattle cost per head - cash equity per head) * interest rate / 365  * days on feed) + [(feed cost per head + yardage cost per head + vet cost per head + miscellaneous cost per head + price protection cost per head) * (0.5) * interest rate  / 365 * days on feed]
Interest cost per pen = [(cattle cost per head - cash equity per head) * interest rate / 365  * days on feed] + [(feed cost per head + yardage cost per head + vet cost per head + miscellaneous cost per head + price protection cost per head) * (0.5) * interest rate  / 365 * days on feed * head count]

Price protection cost -- cost for price protection
Price protection cost per head= Price protection
Price protection cost per pen = Price protection * head count

Death loss cost -- cost for estimated death loss
Death loss cost per head = death loss/100 * (cattle cost per head + [[feed cost per head + yardage cost per head + Vet Cost per head + Miscellaneous cost per head + Interest cost per head +Price protection cost per head)] /2]
Death loss cost per pen = death loss * (cattle cost per head + feed cost per head + yardage cost per head + Vet cost per head + Miscellaneous cost per head + Interest cost per head + Price protection cost per head) * head count

Total feed & variable costs - combined costs for feed, yardage, vet, marketing, trucking, price protection, miscellaneous and interest on one-half of feed and variable costs not including marketing or trucking during the feeding period. Not included are the cost of animal, interest on cattle, and death loss cost.
Total feed & variable cost per head = feed cost per head + yardage cost per head + vet cost per head + marketing cost per head + trucking cost per head + miscellaneous cost per head + Price protection cost per head + [(feed cost per head + yardage cost per head + vet cost per head + miscellaneous cost per head + price protection cost per head) * interest Rate / 100 / 365 * Days on feed * 0.5]
Total feed & variable cost per pen = feed cost per pen + yardage cost per pen + vet cost per pen + marketing cost per pen + trucking cost per pen + Miscellaneous cost per pen + Price protection cost per pen + [(feed cost per head + yardage cost per head + vet cost per head + miscellaneous cost per head + price protection cost per head) * interest Rate / 100 / 365 * Days on feed * 0.5 * number of head purchased]

Total costs = total combined costs during the feeding period including cost of animal, animal interest, death loss and feed and Variable costs and interest on cash equity per head
Total cost per head = = cattle cost per head + total feed and variable cost per head + death loss cost per head + [(cattle cost per head - cash equity per head) * interest rate / 365 / 100 * days on feed + (equity * interest rate / 365 / 100 * days on feed)]
Total cost per pen =  [cattle cost per head+ total feed and variable cost per head + death loss cost per head + ((cattle cost per head - cash equity per head) * interest rate / 365 / 100 * days on feed) + (equity * interest rate / 365 / 100 * days on feed)] * number of head purchased

Cattle cost per pound ($/lb)-- cost per pound of delivered feeder cattle
Cattle cost per pound = purchase price per pound

Feed cost per gain ($/lb) -- cost for feed during the feeding period
Feeding cost = feeding cost per head / (total pounds gained per head)

Feed and yardage cost per gain = [feed cost per head * yardage cost per head] / (total pounds gained per head)

Total cost of gain ($/lb) -- total costs incurred to add a pound of gain
Total cost of gain = [Total cost per head - cattle cost per head -death loss cost per head -(cash equity per head* percent interest rate / 100 / 365 * days on feed) + (cattle cost * percent death loss / 100)] / total pounds gained per head

  Breakeven ($/lb) -- the total cost to produce a fed calf including purchased calf price
Breakeven = [(cattle cost per head + total cost per head+ (cash equity per head * interest rate * days on feed / 365)]) / projected sale weight                                                 

            Marketing Alternatives                              1                      2                      3         

Projected selling price -- estimated selling price per pound for shrunk cattle; go to Chicago Mercantile Exchange for estimating future prices

Projected Selling Price - selling price, $ per pound listed under Marketing Alternative 

Gross Sales - total sales of cattle
Gross Sales Alternative 1 - projected selling price (Alternative 1) ($/lb) * Projected sales weight * number of head purchased * (100 - percent death loss) / 100
Gross Sales Alternative 2 - projected selling price (Alternative 1) ($/lb) * Projected sales weight * number of head purchased * (100 - percent death loss) / 100
Gross Sales Alternative 3 - projected selling price (Alternative 1) ($/lb) * Projected sales weight * number of head purchased * (100 - percent death loss) / 100

  Profit or loss per head -- profit or loss per head for feeding calves with price and conditions projected.
profit or loss per head = { [ (projected selling price per pound * projected sale weight) * head count] - [(total costs per pen + (cash equity per head* interest rate * days on feed / 365 * number of head purchased) ] } / number of head purchased

  Profit or loss per pen -- profit or loss per pen for feeding calves with prices and conditions projected
profit or loss per pen = [(projected selling price per pound * projected sale weight) * head count] - [(total costs per pen + (cash equity per head* interest rate * days on feed / 365 * number of head purchased)]

Annualized return on equity (%) -- percentage return (profit or loss) on cash equity
Annualized return on equity (%) = [profit or loss per head + (cash equity per head* interest rate * days on feed / 365 / 100) ] / cash equity per head / days on feed * 365

 

Closeout Calculations

Input

Your zip code --the Zip code for your home mailing address

Description (name, city) -- provide a description, preferably your name and city. This cell is not archived for later use please use a description that is meaningful to you.

Cattle type (calves, yearlings, etc) -- provide a description of the type of cattle to be fed, e.g. angus steer calves, crossbred yearlings

Sex -- provide the sex of the group to be fed. For example: bulls, steers, cows, heifers, mixed

Purchase date (month/day/year) -- input the date as month/day/year (1/1/2001) for the date cattle are purchased  

Number of head purchased-- the total number of cattle purchased

Average in-weight (lb)  -- the average weight of cattle purchased, usually a shrunk weight. Both in-weight and sale weight should be shrunk weights.

Purchase cost per pound ($/lb) -- the average purchased price for cattle delivered including cattle cost, trucking, commissions, fees, etc.

Sale date -- average sale date for cattle as month/day/year (1/1/2001)

Number of head sold -- the total number of cattle sold

Average sale weight (lb live) -- the average weight of cattle at selling,  usually a shrunk weight.  Both in-weight and sale weight should be shrunk weights

Average sale price ($/lb live) -- the average sale price per pound of live weight for cattle

Total ration cost for pen($) -- total cost of rations or feeds fed during the feeding period

Total pounds of feed fed for pen (lb) -- total weight of rations or feeds delivered to the cattle on an as fed basis

Dry matter content of ration (%) -- the percentage of moisture free feed in the rations as delivered to the feedbunk

 Yardage expenses per pen ($/pen) -- the cost of housing the pen of cattle in the feedlot.  This should include electricity, water, depreciation on pens and buildings and other costs required to hold the animal.  This value may be zero if yardage is included in feed markup.           

Percent death loss -- the percentage of animals expected to die during the feeding period.

Vet and Medicine expenses ($/pen) -- the cost per pen for veterinary services and medications including dewormers, implants, vaccines, antibiotics, etc.

Marketing expenses (Beef Checkoff, brand) ($/pen) -- the cost per pen for marketing including commission fees, weighing fees, brand inspection, beef commission fees, etc.

Trucking expenses ($/pen) -- cost per pen for trucking or freight.  Usually only includes freight on outgoing animals.  Freight on incoming animals should be applied to purchase price of incoming animals.

Miscellaneous expenses ($/pen) -- cost per pen for other expenses incurred from feeding and marketing. 

Price protection expense ($/pen) -- cost per pen for price protection for cattle and feeds including hedging and options cost.                             

 Interest rate (% -- Interest rate for cattle and feeds.  Cattle will incur interest cost during the feeding period minus the cash equity per head.  Feeds will incur interest for one half of the average feed cost during the feeding period.

Cash equity per head ($/head) -- the amount of equity per head required for feeding

Output

Average daily gain (lb) -- the overall average daily gain for cattle fed.  Should be a shrunk weight in and shrunk weight when sold
Average daily gain (lb) = (average sale weight, pounds - average purchase weight, pounds) / days on feed

Feed conversion, as fed (lb) -- the amount (pounds) of ration or feed required to attain one pound of body weight
Feed conversion (lb) = total pounds of feed fed / total pounds gained

Feed conversion, dry matter basis (lb) -- the amount (pounds) of dry matter required to attain one pound of body weight 
Feed conversion (lb) = total pounds of feed fed / total pounds gained * dry matter content of ration (%) *100                                             

Death loss (%) -- the percent of animals in the pen that died during the feeding period
Death loss (%) = (number of head purchased - number of head sold) / number of head purchased

Days on feed -- the average number of days the pen was fed
Days on feed = sale date - purchase date

Breakeven ($/lb) -- the total cost to produce a fed calf including purchased calf price
Breakeven = [(number of head purchased + average in weight + purchase cost per pound) + (total ration cost per pen + yardage expense per pen + vet and medicine expenses per pen + marketing expenses per pen + trucking expenses per pen + miscellaneous expenses per pen + protection cost per pen) + ((((number of head purchased + average in weight + purchase cost per pound) - (number of head purchased * cash equity per head)) * (percent interest rate / 100 /365 * days on feed) + (total ration cost per pen + yardage expense per pen + vet and medicine expenses per pen + miscellaneous expenses per pen + protection cost per pen)* (percent interest rate / 100 /365 * days on feed * 0.5)))] / (number of head sold * average sale weight)          

Total pounds gained -- Total weight gain during the feeding period.
Total pounds gained per head = [(average sale weight * number of head sold) - (average in weight * number of head purchased)] / number of head sold
Total pounds gained per pen = (average sale weight * number of head sold) - (average in weight * number of head purchased)

Cattle cost ($) -- the total cost for cattle placed in the feedlot including purchase price, commission charges, freight and other pre-delivery charges
Cattle cost per pound of gain, $ =[(number of head purchased * average in-weight * purchase cost per pound) - (number of head sold * average in weight * average sale price per pound)] / total pounds gained per pen
Cattle cost per head, $ = (number of head purchased * average in-weight * purchase cost per pound) number of head sold
Cattle cost per pen, $ = number of head purchased * average in-weight * purchase cost per pound

Feed cost -- cost for feed during the feeding period
Feed cost per pound of gain, $ = total ration cost per pen / total pounds gained
Feed cost per head, $  = total ration cost per pen / number of head sold
Feed cost per pen, $ = total ration cost per pen

Yardage cost -- total cost for yardage during the feeding period
Yardage cost per pound of gain = yardage expense per pen / total pounds gained
Yardage cost per head = yardage expense per pen / number of head sold
Yardage cost per pen = yardage expense per pen

Feed and yardage cost - combined cost for feed and yardage
Feed and Yardage cost per pound of gain = Feed and yardage expense per pen / total pounds gained
Feed and Yardage cost per head = Feed and yardage expense per pen / number of head sold
Feed and Yardage cost per pen = feed expense per pen + yardage expense per pen

Vet costs -- costs for veterinary and medicine during the feeding period
Vet costs per pound of gain = vet and medicine expenses per pen / total pounds gained
Vet costs per head = vet and medicine expenses per pen / number of head sold     
Vet costs per pen, = vet and medicine expenses per pen

Marketing -- cost marketing for during the feeding period
Marketing costs per pound of gain = marketing expenses per pen / total pounds gained
Marketing costs per head = marketing expenses per pen / number of head sold
Marketing costs per pen = marketing expenses per pen

Trucking -- cost trucking for during the feeding period
Trucking costs per pound of gain = trucking expenses per pen / total pounds gained
Trucking costs per head = trucking expenses per pen / number of head sold
Trucking costs per pen = trucking expenses per pen

Miscellaneous costs -- costs for other expenses incurred
Miscellaneous costs per pound of gain = miscellaneous expenses per pen / total pounds gained
Miscellaneous costs per head = miscellaneous expenses per pen / number of head sold
Miscellaneous costs per pen = miscellaneous expenses per pen

Interest cost -- amount of interest incurred for the cost of cattle (minus cash equity) and one-half of the feed cost
Interest cost per pound of gain, =Interest cost per pen / total pounds gained
Interest cost per head = Interest cost per pen / number of head sold
Interest cost per pen = [((number of head purchased * average in weight * purchased price per pound) - (number of head purchased *cash equity per head)) * percent interest rate / 100 / 365 * days on feed)] + [(feed cost per pen + yardage cost per pen + vet cost per pen + miscellaneous cost per pen + price protection cost per pen) * percent interest rate / 100 / 365 * days on feed * 0.5]

Price protection cost -- cost for price protection using the futures market or other means of forward price protection
Price protection cost per pound of gain  = Price protection expense per pen / total pounds gained
Price protection cost per head = Price protection expense per pen / number of head sold
Price protection cost per pen  = Price protection expense per pen

Total feed & variable costs -- combined costs during the feeding period not including cost of animal
Total non-cattle cost per pound of gain = (feed cost per pound of gain + yardage cost per pound of gain + vet cost per pound of gain + marketing cost per pound of gain + trucking cost per pound of gain + miscellaneous cost per pound of gain + Interest cost per pound of gain + Price protection cost per pound of gain) / total pounds gained
Total non-cattle cost per head = total feed and variable cost per pen / number of head sold
Total non-cattle cost per pen =feed cost per pen + yardage cost per pen + vet cost per head + marketing cost per pen + trucking cost per pen + Miscellaneous cost per pen + (Interest cost per pen - ((number of head purchased * average in weight * purchased price per pound) - (number of head purchased *cash equity per head) * percent interest rate / 100 / 365 * days on feed) + Price protection cost per head

Total costs -- combined including cattle costs during the feeding period not including interest on equity
Total cost per pound of gain = cattle cost per pound of gain + feed cost per pound of gain + yardage cost per pound of gain + vet cost per pound of gain + marketing cost per pound of gain + trucking cost per pound of gain +miscellaneous cost per pound of gain + interest cost per pound of gain + price protection cost per pound of gain + (cash equity per head * number of head purchased* percent interest rate / 100 / 365 * days on feed / total pounds of gain per pen)
Total cost per head =(cattle cost per head + feed cost per head + yardage cost per head + vet cost per head + marketing cost per head + trucking cost per head + miscellaneous cost per head + interest cost per head + price protection cost per head + (cash equity per head * number of head purchased* percent interest rate / 100 / 365 * days on feed / number of head purchased)
Total cost per pen = (cattle cost per pen + feed cost per pen + yardage cost per pen + vet cost per pen + marketing cost per pen + trucking cost per pen + miscellaneous cost per pen + interest cost per pen + price protection cost per pen + (cash equity per head * number of head purchased* percent interest rate / 100 / 365 * days on feed )

Gross Sales - total sales of cattle
Gross sales per pound of gain = Gross sales per pen / (number of head sold * average selling price)
Gross sales per head = Gross sales per pen / number of head sold
Gross sales per pen = number of head sold * average sale weight * average selling price

Profit or loss per head -- profit or loss per head for feeding calves
Profit or loss per pound of gain = gross sales or loss per pound of gain - total cost per pound of gain
Profit or loss per head = gross sales or loss per head- total cost per head
Profit or loss per pen =gross sales or loss per pen- total cost per pen

Annualized return on equity (%) -- percentage return (profit or loss) on cash equity
Annualized return on equity (%) = (profit or loss per head +(cash equity per head * percent interest rate / 100 / 365 * days on feed)) / cash equity per head / days on feed * 365 * 100