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Replacement Costs
Understanding Ranch Businesses
The cost of raising a breeding replacement female is a critical question for managers of breeding livestock operations, but it is often difficult to answer because many of the costs involved are hidden or not easily identifiable.
Ranch Vision calculates the various costs incurred in raising breeding replacements, including:
The opportunity cost of not selling the female animal at weaning
The opportunity cost of investment
Grazing costs
Costs involved in maintaining a breeding male
Losses incurred from death, infertility, poor performance and culling
Feeding
Other Cash and non-cash direct costs such as Veterinary services, vaccines, dewormers, supplies, etc.
Ranch Vision also factors offsets such as:
Sales of culled breeding females
Wool or mohair sales (for sheep and goats)
With Ranch Vision, ranch managers are able to identify the true net cost involved in raising breeding replacement females.