Production Economics of Bell Peppers - Bell Peppers: Growing Practices and Nutritional Value - page 15

Production Economics of Bell Peppers
Bell Pepper Production Economics Worksheet
Assumptions
1. Areacultivated: 1 acre
2. Number of transplantsplanted: 18000
3. Number of transplants survived: 17500
4. Yield from 1 acre: 15500, 000 bushels
5. Selling price per bushel: 12 USD
6. Total income from sales of bell peppers: 15500, 000 *12
A. Pre-Harvest Fixed Costs/Fixed Capital
1. Cost of Tractor and Farm machinery
2. Land rental charges
3. Overhead and management expenditure
Total Pre-Harvest Fixed Costs = 1+2+3
B. Pre-Harvest Variable Costs/Operating Capital
1. Cost of Transplants
2. Cost of Fertilizers
3. Cost of Fumigant (for soil fumigation)
4. Cost of Herbicides (weed control), insecticides (insect control) and fungicides (dis-
ease control)
5. Cost of Tractor, Pickup truck and Farm machinery
6. Labor costs
7. Miscellaneous costs= Cost of Plastic mulch, Scouting, Leveling land, Hand weed-
ing, staking (Drive stakes, String, stakes, and plastic disposal, Clean ditches, Plastic
string and Tie plants)
8. Interest on operating capital @ 10%
Total Pre-Harvest Variable Costs = 1+2+3+4+5+6+7+8
C. Harvest and Marketing Costs
1. Cost of picking, packing and selling