EN MOOC AE: 2 (TOPAS)
Agrar Economy 


Full Cost & Gross Margin Calculation
Crop (wheat) production


Content

1. Introduction to production procedures

2.1. Production procedures: Intersection

2.2 Production procedures: Resource use

3. Output

4.1 Seed costs

4.2 Fertilizing costs

4.3-4.4 Chemicals costs, Mechanization costs

4.5 Other variable costs

5.1. Current assets costs

5.2. Labour costs

5.3. Land costs

5.4. Production and supply rights

5.5. Fixed assets

5.6. Other fixed special costs and proportionate overhead costs

6.1 Gross margin calculation

6.2.1 Total costs, Net profit and Profit

6.2.2 Example calculation of Total costs, Net profit and Profit

6.3. Efficiency of factor input

6.4. Threshold prices

6.5. Comparable appraisal of efficiency measures

7. Profitability of intensity change

Summary


   

TOPAS MOOC  of Agrarian production economics


a joint Massive Open Online Course production of Erasmus+ TOPAS Partner universities
Online module of TOPAS E+ Course Description
Prof. Prof. h. c. mult. Dr. Dr. h. c. mult. Ralf Schlauderer

The following online learning module “Assessment of Agricultural Production Procedures” is a result of the Erasmus+ TOPAS Project CBHE 585603 funded by EU

Objectives:
- to foster modern lecturing and teaching in universities
- to make university knowledge online available for all interested groups of our societies

The goal of the course is to provide the theoretical basis for decision-making in agriculturla production and the subsequent illustration on specific practical examples for crop production. In this case, the course deals primarily with the issue of short- and long-term costs calculation means of crop production such as winter wheat. In the process, the question is addressed whether is the crop production short- and long-term profitable or not. With the example of such questions, the theoretical basics of economic decisions are illustrated and discussed. Subsequently the developed theoretical principles are applied to specific practical examples. The results are discussed and evaluated from the perspective of decision-makers. Additionally, the course is utilizing Moodle. For each module, there is time for questions and discussions in a virtual chat room scheduled, to which all users have access to.

The presented online course is the result of the common and equal work of all ten participating universities of TOPAS.

What will I learn in this course? ⮟

What will I learn in this course?

  • To accurately define output and costs, to explain cost categories (proportional variable special costs and fixed costs) and to apply the terms to typical examples of agriculture (crop production)
  • To define and apply proportional variable special costs and fixed costs, procedural costs and comparative costs
  • To calculate and appropriately interpret the prduction output (main output and spin-off output) variable, fixed and total costs as well as profit and netprofit per year and per unit of output
  • To calculate the Efficiency of factor input, Threshold prices, Comparable appraisal of efficiency measures of crop production and to appropriately evaluate the resultsand interpret the Profitability of intensity change
  •  Sample of complete profitability calculation for winter wheat is available 
  • What prior knowledge do I need? ⮟

    What prior knowledge do I need?

    In order to successfully participate in the course, a basic knowledge in the field of agricultural sciences (all disciplines) is required.

    What is the workload? ⮟

    What is the workload?

    Approximately 6 hours per week.

    Do I get a certificate? ⮟

    Do I get a certificate?

    If participating in the final examination (presence at the HSWT or in the partner universities required) participants will receive a certificate of attendance and certificate for 2.5 ECP (European Credit Points).


    Content


     1.1. Production procedures: Why are they important? (Prof. Dr. Ralf Schlauderer, HSWT Germany)


    2.1. Production procedures: Intersection (Prof. Dr. Ralf Schlauderer, HSWT Germany)


     2.2. Production procedures: Resource use (Prof. Dr. Ralf Schlauderer, HSWT Germany)


     3. Output (main output, spin-off output, subsidies) (Dr. Arman Tonikyan, ANAU Armenia)

       |      |       Direct payments


     4.1 Seed costs (Dr. Julian Kalinowski, Dr. Stanislaw Minta, WUELS, Poland)

      |     

     


     4.2 Fertilizing costs (Dr. Stanislaw Minta, WUELS, Poland)


       |       |  Calculation example of balanced nutrient requirements for 1 ha of wheat production:

     


     4.3-4.4 Chemicals costs, Mechanization costs (Dr. Oleh Pasko, SNAU, Sumy, Ukraine)


    Chemicals       Mechanization   |    Chemicals costs   |    Mechanization costs

     
    Calculation example of fixed and variable costs of mechanisation:
     

     


     4.5 Other variable costs (Dr. A. Toychiev, TSAU- Andijan, Uzbekistan)


         |     

     


     5.1. Current assets costs (Dr. Arman Tonikyan, ANAU Armenia)


      |        

     


     5.2. Labour costs (Prof. Dr. Aram Karapetyan, YSU Armenia)


         |    


     5.3. Land costs /agricultural utilized own- and rented land (Dr. Arman Tonikyan, ANAU Armenia)


        |    


     5.4. Production and supply rights (Dr. Vitaliy Radko, NBUPiP, Kiev, Ukraine)


        |    

     


     5.5. Fixed assets (Dr. Vitaliy Radko, NBUPiP, Kiev, Ukraine)


      |    


     5.6. Other fixed special costs and proportionate overhead costs (Prof. Dr. Farhod Ahrorov, SamVMI, Samarkand, Uzbekistan)


        |     


     6.1 Gross margin calculation (Henry Matthews. MSc, BA (Hons), WUC, Writtle, Great Britain)


    Gross margin   |   Gross margin   |    Gross margin I, II, II   |   Gross margin I, II, II


     6.2.1 Total costs, Net profit and Profit (Henry Matthews. MSc, BA (Hons), WUC, Writtle, Great Britain)


     


     6.2.2 Example calculation of Total costs, Net profit and Profit (Milica Kocic, MSc, HSWT, Germany)


     


     6.3. Efficiency of factor input (Henry Matthews. MSc, BA (Hons), WUC, Writtle, Great Britain)


      |     

     


     6.4. Threshold prices (Dr. Vlad Nicolae Arsenoaia, UASVM, IASI, Romania)


      |  


     6.5. Comparable appraisal of efficiency measures (Dr. Aram Aristakesyan, HSWT Germany)


      |    


     7. Profitability of intensity change (Dr. Kateryna Tuzhyk, NBUPiP, Kiev, Ukraine)


      Interpretation   |    Example for calculation 

     





     


    Digital creation of MOOC by Dr. Aram Aristakesyan (HSWT, Germany)

     


     

    EN MOOC AE: 2 (TOPAS)
    Agrar Economy 


    Full Cost & Gross Margin Calculation
    Crop (wheat) production


    Content

    1. Introduction to production procedures

    2.1. Production procedures: Intersection
    2.2 Production procedures: Resource use

    3. Output

    4.1 Seed costs
    4.2 Fertilizing costs
    4.3-4.4 Chemicals costs, Mechanization costs
    4.5 Other variable costs

    5.1. Current assets costs
    5.2. Labour costs
    5.3. Land costs
    5.4. Production and supply rights
    5.5. Fixed assets
    5.6. Other fixed special costs and proportionate overhead costs

    6.1 Gross margin calculation
    6.2.1 Total costs, Net profit and Profit
    6.2.2 Example calculation of Total costs, Net profit and Profit
    6.3. Efficiency of factor input
    6.4. Threshold prices
    6.5. Comparable appraisal of efficiency measures

    7. Profitability of intensity change

    Summary