1. Economics of Farm Enterprises II. (Farm Management II.) MSc level
Lecture 8
Structure of Planning, Partial Budgeting

2. Partial budgeting Background to planning Use of partial budgets
Brief history
Value and limitations
Use of partial budgets

3. Substitution Partial Budget

4. Substitution Partial Budget/2

5. Marginal Returns
Innovation Budget

6. Buildings
Innovation Budget /2
Average investment in pigs

7. Innovation Budget /3 Average investment in feed
Average investment in miscellaneous costs
Summary of average investments
Interest at 16% per annum

8. Expansion / Contraction Partial Budget

9. Expansion / Contraction Partial Budget /2
Average investment in variable costs

10. Change in Use of Feed

11. Break-even Budgeting

12. Example Questions: Extra annual fixed costs of ownership
Extra variable costs per hectare
Break-even yield