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D-enterprise-budget Dictionary

Enterprise budget

A budget for one farm activity showing output, price, income, variable costs and gross margin

All termsIntroduced in Module 3Open the Toolkit
An open dictionary on a farm office desk
Plain meaning
A budget for one farm activity showing output, price, income, variable costs and gross margin
How to use it
Build one enterprise budget for each activity in the venture: expected output, price, income, variable costs and gross margin. Every Major's first calculator is an enterprise budget.
South African benchmark
South African grain and livestock enterprise budgets are published regularly by industry bodies.
Country notes
Applies the same way in all five markets.
Go and read
C3
Calculate it
T-M1-01 Enterprise Budget
Library sources
LIB-A014, LIB-A015
See also
Gross margin, Stress test
Income bar split into variable costs and gross marginGross marginIncome from the enterpriseVariable costsGross marginIncome minus the costs that rise and fall with production. Fixed costs come after.
Enterprise budget, shown as a diagram.

Introduced in C3 Productivity Economics.