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<blockquote data-quote="HerefordSire" data-source="post: 385347" data-attributes="member: 4437"><p>Here is the reason I ask:</p><p></p><p>With a larger sample, any fixed cost you incur may lower your average cost per head. For example: my land payment is $1,967.50 each month. I have 124 head which is less than land capacity. Therefore, $15.87 is my average cost of land per head per month. On the other hand, if I owned 62 head or half as many head, my average cost of land per head per month is $31.73 per head or twice as high.</p><p></p><p>In my view, there will be plenty of time for learning. Therefore, only raise cattle for money or love and money, etc. There are two many people that go out of business very fast. You should be prepared and have as large of a volume to lower your fixed cost per head.</p></blockquote><p></p>
[QUOTE="HerefordSire, post: 385347, member: 4437"] Here is the reason I ask: With a larger sample, any fixed cost you incur may lower your average cost per head. For example: my land payment is $1,967.50 each month. I have 124 head which is less than land capacity. Therefore, $15.87 is my average cost of land per head per month. On the other hand, if I owned 62 head or half as many head, my average cost of land per head per month is $31.73 per head or twice as high. In my view, there will be plenty of time for learning. Therefore, only raise cattle for money or love and money, etc. There are two many people that go out of business very fast. You should be prepared and have as large of a volume to lower your fixed cost per head. [/QUOTE]
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