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Optimal Milk Production Analysis for Dairy Farms in UWEX District

This report analyzes data from several farms within a seven-county district focusing on optimal milk production and herd sizes. By examining farms with similar milking parlors and worker counts, we calculated average production per cow, identifying key metrics to recommend the best milk output. Given the milk price of $14/cwt, we concluded that optimal milk production occurs at 241,000 cwt with a recommended herd size of 100 cows. This analysis assists dairy farmers in maximizing profitability and efficiency in operations.

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Optimal Milk Production Analysis for Dairy Farms in UWEX District

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  1. Think Break #10 • You work for UWEX and have data on several farms in your seven county district • You look at all farms with similar sized milking parlors and a similar number of workers • You calculate the average production per cow as the number of cows varies among the farms • Use these data in the table to recommend the optimal milk output and herd size

  2. Think Break #10 (VC = $3350/cow) • Fill in the missing MC’s • If the milk price is $14/cwt, what is the optimal milk output and farm size?

  3. Think Break #10 Answer = (211000 – 144000) (14490 – 9640) = (345000 – 278000) (24100 – 19320) P = MC when Milk = 241,000 cwt with 100 cows

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