Description
Item /acre cost Total item cost
Ingredient Costs:
Plantable Acres:
Seed:
Labor / custom planting:
Herbicides:
Herbicide Application Labor:
Pesticides:
Pesticide Application Labor:
Fuel:
Nitrogen:
Nitrogen Labor Cost:
Fertilizer:
Inoculant:
Harvesting:
Harvesting/Combining:
Shipping/Trucking:
Equipment, Land Payment, Other:
Equipment Depreciation:
Land Payment/Taxes:
Total Costs:
/acre Total acres
Gross Income
Estimated Yieldage per acre:
(bushels)
Total Bushels:
Expected Market Value of corn: This value is used to calculate option values in the lower section of this worksheet.
Basis:
(per bushel)
Gross Income: $
/acre Total
Net Profit (EBIT)
/acre Total
Price Hedging and Options Calculator
Buying Put Options to establish a Price Floor
Option Ideas:
Go here
Buy (Long) Puts
Number of Put Options purchased:
Strike Price:
Current option price:
Sell (Short) Puts
By selling Put Options, you can limit the up front cost of the contract. To limit risk, you need to hold a long position, too. By selling a Put, you limit your profit return. Profit on the spread does not increase once the short option is in the money.
Number of Put Options sold (short):
Strike Price:
Current option price:
Commission for each trade:
Total Cost of Options Contract: $
For purposes of this calculation, I am only using the Intrinsic Value . This means the option will show a value of $0.00 if your estimated market price from above is higher than the strike price of the Put option purchased. Options do have value prior to expiration, but to simply this page, I am not including any formulas to calculate option value. Since this is a hedge, we assume the position will be held until expiration date when the option can be sold or exercised to sell a future.
Option Value based on estimated market price:
Total Profit with all costs and revenue from above
Gross Income + Option Value - Ingredient Costs - Harvesting - Depreciation & Land Payment - Cost of Options Contract:
$
/acre Total
Corn Planting Guide
