By Aaron Berger, Nebraska Extension Beef Educator | Matt Stockton, Nebraska Extension Ag Economics Specialist Calf prices are encouraging cow-calf producers to increase cow inventories to have more calves to sell. Consider the following points when evaluating growing the cowherd. Contribution Margin Is the operation fully stocked on owned land or on land leased by the acre? What are the current overhead costs including labor and equipment associated with owned and leased acres? If more cows can be added to the ranch to make it “fully stocked,” what is the additional “contribution to margin” that comes from adding a cow? ...

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