To find the price needed on remaining unsold bushels in order to meet your breakeven or target profit goal, utilize the risk management report.
NOTE: If the current value of your unsold is above your breakeven or target, the line item for price needed on remaining amount will NOT display.
Within the risk management report, the price needed on remaining bushels is found within the section for each profile--these sections are found below the 'Profiles' and 'Revenue Summary' sections. You will be provided the cash price needed on your unmarketed bushels for each profile listed three ways: per bu/per lb, per acre/per head and gross.
The calculation for this number can be determined using other values in the risk management report. Below is the calculation, which takes into account the value of sold production, the gain/loss on brokerage positions and your breakeven or target profit goal for the profile.
1. Find the unsold quantity within the 'Cash Summary' for the profile.
Example: 83,400 bu
2. In the 'Futures & Options' section, find the 'Total gain/loss' value.
3. Obtain the value of sold bushels in the 'Cash Summary'.
4. Depending on whether you've entered a profit goal in the 'Plan' will determine which value the system is using to calculate the price needed on remaining bushels (breakeven or target). If there is a profit goal established, the system will calculate price needed based on 'Target' rather than 'Breakeven'.*
Example: Breakeven = $700,200.47 gross
Target = $732,200.59 gross
5. Using the values accumulated from the prior steps, the price needed on remaining bushels can be calculated.
(Gross Target $ - Gross Sold $ - Futures & Options Gross Gain or Loss) = Price Needed on Remaining Gross
For Per Bushel Price Needed: Divide above answer by the unsold bushel quantity
For Per Acre Price Needed: Divide above answer by the acres with production remaining to be sold (unsold bushels/average yield) Example: 83,400 bu / 177.14 bu/acre = 470.814 acres
$732,200.59 - $401,500 - $13,125 (remember: subtract a gain, add a loss) = $317,575.59
$317,575.59 /83,400 bu = $3.8079 /bu
$317,575.59 /470.814 acres = $674.54 /acre
Notice that the calculated values match the summary values in the report (see image in step 1). If you experience any slight discrepancy when manually calculating and comparing, this is likely due to rounding.
*If a profit goal has been entered within the Plan > Profit Goals section, the system will calculate the price needed on the remaining amount based on breakeven + profit goal (TARGET). To see the report compare to breakeven instead of target, exit the report and go back to Risk Management > Plan > Profit Goals and delete the profit goal(s). Run the risk management report again and it will use the breakeven now that no profit goal exists to create a target value.