Cow-calf systems that minimize cow depreciation costs
Abstract
"Throughout their lifetime, cows in the breeding herd may increase in value (appreciate) or decrease in value (depreciate) as a function of age, stage of production, and/or market conditions. Decreases in cow value should be thought of as an annual cost for accounting and management purposes. However, because cow depreciation is a non-cash expense, it is often overlooked as a real cost of cow-calf production. Unfortunately, cow depreciation is often one of the largest annual expenses in a cow-calf budget, generally ranking as the second largest cost category after feed costs. Understanding and limiting costs associated with cow depreciation should therefore be a major priority of cow-calf producers."--First page.
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