What does it do?
This calculator provides estimates of the areas which can be cropped for a given amount of cash availability. It will also calcuate the cash requirements to cover the whole cultivable area of a farm with one crop at A, B or C technlogy. The calculator also enables the calculation of costs of a specific crop (at A, B or C technology) for different plots by inputting the plot area. For each calculation the report also contains the associated Gross Margin.
The physical areas feasible (including intermediate technologies between poor and average technologies and betrween average and good technologies) are presented in graphs as are the associated gross margins.
As in the case of the other cash calculator this is useful for farmers with limited cash and/or small land areas where it is not practical to have multiple crop combinations.
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Information used
The user provides seasonal cash availability, an estimate for fixed overheads and salaries and an estimate of the target area (farm or plot).
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Formulae
Net cash (n) = c - f
Crop area available = A
Total variable cost = tvc*
Feasible area of crop at each level of technology (a) = n/tvc
Aggregate gross margin attained for area at each level of technology (agm) = GM** x a
Extra cash required to cover whole area (C) = (A - a) x tvc
Extra gross margin achieved by covering whole area (G) = (A - a) x GM**
Besides using the information in the data base on good, average and poor technologies the system presents the results in a graphic form and includes intermediate technology levels between good and average inputs and gross margins and average and poor.
* For each crop and each level of technology in the data base
** GM for each technology level of each crop
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