Table 1.  Partial Budget Used to Calculate Breakeven Equation

Proposed Change: Enroll buffer strips in CRP program                  

where    

CRP represents the average CRP payments received from enrolling the buffer strips in the CRP program.
VC is the sum of all variable costs of grain production removed from operation.
GR is the sum of gross revenues of all grain production removed from operation.
GOV is the sum of all relevant government payments received by operator.
EST is establishment costs for buffer strips spread out over the useful life of the strip.
MNT is the maintenance cost of the buffer strip per year.
COC is the cost of capital invested in the buffer strip per year using average investment times an interest rate of 8%.