An exercise for all

[gcreekrch]

Canadian funds, 800 lbs steers contracted off grass late August for $2.65, 115 feeding days to grass, expected adg 1.5 lbs, what can I pay for 530 lb steers today to take a $100 profit.
I already have forty from my winter project that are closer to 600. Thinking of adding to them th make a load.

 

[wbvs58]

Dave, you are trying to give me a headache. I only do calculations like that when I'm the benefactor these days.

Ken

 

[mwj]

Without a feed cost I would say from 14$ per head.

 

[J+ Cattle]

I think to make that calculation we would need to know what your feed costs are per head per day and what are your costs once you can stop feeding and turn them out on grass. Some people forget that it still costs money for the grass, maybe there's a lease cost or fertilizing, weed spraying, mineral, death loss, etc. Many things go into determining if there's $100 per head left over in August.

 

[KAstocker]

Fun exercise! I'll take the easy way out and just assume a lump total cost. Assuming $1.50 Canadian COG, you could pay $3.05.

I'm curious to see all the things you take into account!

 

[daneg]

$3.18

 

[gcreekrch]

Fun exercise! I'll take the easy way out and just assume a lump total cost. Assuming $1.50 Canadian COG, you could pay $3.05.

I'm curious to see all the things you take into account!

You are a bit high. $3 feed for 90 days, 60 cent grass for 90 days. $60 freight and selling commissions. Assume losing one $20. Interest at 3% as it is my own money and that is all they are paying. $100 built in profit. Thinking $2.90 or less. In the ball park for good bull calves or steers with horns.
Enjoying making a profit in a high market, priceless!