Nancy Mingis Page 1 12/09/2021

HS 440 HEATING CALCULATIONS

A - FRAME GREENHOUSE
Standard K C or CW Corrected
Greenhouse Heat Loss Factor Table 3-10 Heat Loss
Component (MBtu/hr) Table 3-9 Table 3-11 (MBtu/hr)

Gable (Table 3-7) 0.000

Roof (Table 3-7) 0.000
Wall-transparent (Table 3-8) 0.000
Curtain wall (Table 3-8) 0.000

TOTAL HEAT REQUIREMENT ======> 0.000

QUONSET GREENHOUSE
Standard K C or CW Corrected
Greenhouse Heat Loss Factor Table 3-10 Heat Loss
Component (MBtu/hr) Table 3-9 Table 3-11 (MBtu/hr)

Endwall (Table 3-12) 0.000

Roof (Table 3-12) 0.000

TOTAL HEAT REQUIREMENT ======> 0.000

GUTTER - CONNECTED GREENHOUSE

Number of Roofs:
Std. Heat loss per roof: (Table 3-12)
Gable Height:
Gable Base Width:

Standard K C or CW Corrected
Greenhouse Heat Loss Factor Table 3-10 Heat Loss
Component (MBtu/hr) Table 3-9 Table 3-11 (MBtu/hr)

Gable (all) 0 0.000

Roof (all) 0 0.000
Wall transparent (Table 3-8) 0.000

TOTAL HEAT REQUIREMENT ======> 0.000

Nancy Mingis Page 2 12/09/2021

HS 440 - COOLING CALCULATIONS

SUMMER COOLING

AIR EXCHANGE CALCULATION:

LENGTH
WIDTH
STANDARD CFM 0
Felevation (Table 4-1)
Flight (Table 4-2)
Ftemperature (Table 4-3)
Fhouse 0.00
Fvelocity (Table 4-4)
THE LARGER NUMBER, Fhouse or Fvelocity, IS 0.00
CORRECTED CFM (air exchange) 0

EXHAUST FAN SPECIFICATIONS:

PAD LENGTH
CALCULATED NUMBER OF FANS 0.00
WHOLE NUMBER OF FANS DESIRED
FAN SIZE (CFM) #DIV/0!

PAD SPECIFICATIONS:
PAD AREA (SQ. FT.) 0.0
PAD HEIGHT (FT.) #DIV/0!
PUMP CAPACITY (GPM) 0.0
SUMP VOLUME (GAL) 0.0

WINTER COOLING

AIR EXCHANGE CALCULATION:

LENGTH
WIDTH
STANDARD CFM 0
Felevation (Table 4-1)
Flight (Table 4-2)
Fwinter (Table 4-6)
CORRECTED CFM (air exchange) 0

CONVECTION TUBE SPECIFICATIONS:

NUMBER OF TUBES (Table 4-7)
DIAMETER OF TUBES, inches (Table 4-7)
MIN. CAPACITY OF EACH PRESSURIZING FAN #DIV/0!
 COST ANALYSIS OF SUBSTRATE PREPARATION
HS 440 TUTORIAL
ADAPTED FROM: PAUL V. NELSON AND NANCY C. MINGIS

This tutorial will present an overview of the factors involved in

determining the cost of substrates. Both the fixed and variable cost
components will be discussed, with examples of each.

A sample of the cost analysis for substrate preparation is shown for a pad
mixing system. This is followed by a blank worksheet which allows
you to enter some of your own numbers and data.

Make sure the bottom right corner cell of your screen reads *SC1* so
that this tutorial will page properly. Click on the *SC1* cell,
then press the [Page Down] key to advance through this tutorial.
*SC1*

First, a few basic instructions for operating the tutorial:

Press the "PGDN" or "PGUP" key to advance/backup each screen.

Notice the screen # at the bottom right hand corner of each screen.

To go to a particular screen, press the "F5" function key, and then

type in the screen number (eg. "SC16" for screen 16)

On some systems, you can press the "Home" key

to go back to the beginning (SC1).

Use the small arrow keys to move the cursor around within each
screen, allowing you to enter numbers, etc.

*SC2*

Here are some additional "named" screens you may directly go to, using
the "F5" key then typing one of these names listed:

Screen name Description

MENU This screen (SC3)

FACTS Background facts
PAD Pad system equipment
MIXER Mixer system equipment
MEDIA Substrate component variable costs
FERT Fertilizer variable costs
FCOST Fixed cost determination
VCOST Variable cost determination
TCOST Total cost determination
PI Point of Indifference
SHEET Blank worksheet (you enter the numbers)

*SC3*
The two major types of mixing systems used for substrate preparation are:
1) the PAD system for small to medium size production
2) the MIXER system for medium to large size production

The basic different equipment requirements of each system are accounted for
in the "fixed" cost component of the cost analysis, but note that mix components
also have different equipment needs.

BACKGROUND FACTS
1). A 100,000 sq ft pot plant firm can consume between 400 and 640 cu yd
of substrate per year. We will assume 500 cu.yd for the current
calculations.

2). With a reasonable credit rating, money is available at 2% over the

prime rate. Let's assume this totals 10%.

3). Annual repairs for the PAD system equipment are $720 and for
the MIXER system are $800 (would really depend on actual equipment used).
*SC4*
4). The office expenses of a 100,000 sq. ft. firm including secretary and
supplies are approx. $11,700 (based on a study by Brumfield, et al.)

5). The general manager salary is assumed to be $40,000 for a 100,000 sq.
ft. firm with 2 days (0.8%) of their time applied to substrate prep.

6). Approximately 1 gallon of oil is required for the pasteurization of 1 cu. yd. of substrate.
Pasteurization is needed for mineral soil-containing substrates.

7). The total labor inputs into mixing substrates are 18.2 minutes per
cu.yd for the pad system and 13.2 minutes per cu. yd. for mixer system.

8). Hidden in an hourly labor assessment is the cost of two 15 minute

coffee breaks, 6 legal holidays, 5 vacation days, 5 sick leave days,
social security, workman's comp, and unemployment insurance. This
package of benefits equals about 22% of the hourly wage received
by the employee.

9). Substrate can be purchased ready-mixed for $50/cu. yd.

*SC5*

FIXED COST and VARIABLE COST DETERMINATION

Fixed costs and variable costs consist of the following components:

FIXED COSTS VARIABLE COSTS

1. Depreciation of equipment 1. Substrate components

2. Annual Interest 2. Nutrient amendments
3. Taxes 3. Fuel oil (if steaming substrate)
4. Insurance 4. Labor
5. Repairs
6. Office Expenses
7. Management Expense

The TOTAL COST of substrate preparation is a sum of both the

fixed and variable cost components.
*SC6*

FIXED COSTS - FACILITIES AND EQUIPMENT for various mixing systems

PAD SYSTEM
**********
USEFUL
EQUIPMENT LIFE (YRS) COST
Shelter with concrete floor (20' x 30') 20 $6,500 $6,500
Concrete pad (40' x 40' x 4") 20 $1,650 $1,650
Tractor (skid steer, 25 HP, 11 cu. ft. bucket) 10 $11,000 $11,000
Soil shredder (if using mineral soil in mix;15 cu. yd./hr) 10 $7,000 $7,000
Two 4-cu. yd. steam trailers (if steam pasteurizing the mix) 10 $9,000 $9,000
Steam boiler (needed if using mineral soil in mix; 800,000 BTU) 10 $3,500 $3,500
Peat bale fluffer (if using peat moss in mix) 10 $8,000 $8,000
Two 4-cu. yd. soil trailers (if not using steam trailers) 10 $5,000 $0

Total ==> $46,650

 *SC7*

FIXED COSTS - FACILITIES AND EQUIPMENT for various mixing systems

MIXER SYSTEM
***************
USEFUL
EQUIPMENT LIFE (YRS) COST
Building 40' x 50' (incl. wire, insulation, floor) 20 $24,000 $0
Tractor (skid steer, 25 HP, 11 cu. ft. bucket) 10 $11,000 $0
Soil shredder (if using mineral soil in mix;15 cu. yd./hr) 10 $7,000 $0
Mixer (8 cu. yd.) with steam fittings (if steaming is needed) 10 $9,600 $0
Mixer (8 cu. yd.) without steam fittings 10 $8,700 $0
Steam boiler (needed if using mineral soil in mix; 800,000 BTU) 10 $3,500 $0
Elevator (12 ft) with 6 cu.yd hopper 10 $11,300 $0
Peat bale fluffer (needed if using peat moss in mix) 10 $8,000 $0

Total ==> $0

*SC8*

VARIABLE COSTS - SUBSTRATE COMPONENT and FERTILIZER COSTS

cost/cu.ft.
Substrate Component cost/cu.yd. (inc. freight)

Peat moss $25.65 $0.95

Vermiculite $39.15 $1.45
Perlite $40.50 $1.50
Sand (concrete grade) $15.12 $0.56
Soil $12.00 $0.44
Pine bark humus $15.00-$18.50 $0.56-$0.69
Hardwood bark $26.90 $1.00
Peat-Lite type mix $54-$67.50 $2.00-2.50

*SC9*

VARIABLE COSTS - SUBSTRATE COMPONENT and FERTILIZER COSTS (cont.)

Fertilizer Component cost/ton cost/lb

Superphosphate (0-44-0) $209 $0.105

Gypsum $152 $0.076
Dolomitic limestone $47 $0.024
Hydrated lime $118 $0.059
Micronutrients (fritted) $1520 $0.048 /oz.
Ammonium nitrate $228 $0.114
Calcium nitrate $262 $0.131
Potassium nitrate $491 $0.246
Wetting agent (AquaGro 2000 G) $6500 $3.250

**********************************************************************
Next, a sample problem on cost analysis is presented using the previous
information. Take note of how the fixed and variable costs are used to
compute total costs and the point of indifference. *SC10*

FIXED COST DETERMINATION

Type of mixing system (PAD or MIXER) pad

1). DEPRECIATION of equipment (straight line)

Facility or Purchase price Useful Annual
equipment less salvage (A) life (B) depr.(A/B)

shelter $6,500 20 $325.00

concrete pad $1,650 20 $82.50
tractor $11,000 10 $1100.00
soil shredder $7,000 10 $700.00
peat bale fluffer $8,000 10 $800.00
boiler $3,500 10 $350.00
steam trailers $9,000 10 $900.00
_____ _____ __ #VALUE!

Total annual depreciation ==> #VALUE!

*SC11*

FIXED COST DETERMINATION (cont.)

2). ANNUAL INTEREST = % interest /100 x (facilities & equip cost)/2

10 /100 X $46,650 /2 = $2332.50

3). TAXES = 1 % /100 X (equip.cost / 2)

= 1 /100 X $46,650 /2 = $233.25

4). REPAIRS = $720.00

*SC12*

FIXED COST DETERMINATION (cont.)

5). INSURANCE = 0.5 % /100 X (equip.cost / 2)

= 0.5 /100 X $46,650 /2 = $117

6). OFFICE EXPENSES = 1.0 % /100 X total office expenses

1 /100 X $11,700 = $117

7). MANAGEMENT EXPENSE = 0.8 % /100 X general manager's salary

= 0.8 /100 X $40,000 = $320

*SC13*

FIXED COST DETERMINATION (cont.)

8). TOTAL FIXED COSTS

TFC = (1) + (2) + (3) + (4) + (5) + (6) + (7)

= #VALUE! $2332.50 $233.25 $720.00 $116.63 $117.00 $320.00

= #VALUE!

9). FIXED COST PER UNIT

Cost per cu. yd. = TFC / cu. yd. per year

 = #VALUE! / 325 = #VALUE!

*SC14*
VARIABLE COST DETERMINATION

Specify type of mixing system (PAD or MIXER) pad

1.) SUBSTRATE COMPONENTS:

Unit Cost/ Units/ Cost/
Component Size Unit cu.yd. cu.yd.

peat moss cu.ft $0.95 10.8 $10.26

perlite cu.ft $1.50 10.8 $16.20
soil cu.ft $0.44 5.4 $2.38
____ ____ ____ ____ #VALUE!
____ ____ ____ ____ #VALUE!

Total unadjusted cost/cu.yd. ==> #VALUE!

Adjusted cost per cu.yd

= unadjusted cost X (1 + shrinkage, as a decimal fraction)
= #VALUE! X (1+ 0.1 ) = #VALUE!
*SC15*
VARIABLE COST DETERMINATION (cont.)

2). NUTRIENT AMENDMENTS

Unit Cost/ Units/ Cost/
Amendment Size Unit cu.yd. cu.yd.

superphosphate lb $0.105 1.5 $0.158

dolomitic limestone lb $0.024 5.0 $0.120
micronutrients oz $0.048 2.0 $0.096
calcium nitrate lb $0.131 1.0 $0.131
potassium nitrate lb $0.246 1.0 $0.246
wetting agent lb $3.250 1.0 $3.250
gypsum lb $0.076 1.5 $0.114
Total cost / cu.yd. = $4.12

3). FUEL OIL

Cost per cu.yd substrate = cost of 1 gal. oil = $0.70

*SC16*
VARIABLE COST DETERMINATION (cont.)

4). LABOR

Labor cost = minutes per cu.yd / 60 X hourly wage X 1.22

18.2 / 60 X $6.00 X 1.22
= $2.22

5). TOTAL VARIABLE COSTS

TVC per cu.yd = (1) + (2) + (3) + (4) #VALUE!

= #VALUE! $4.12 $0.70 $2.22

TVC per cu.ft = TVC per cu.yd / 27 = #VALUE!

*SC17*

TOTAL COST DETERMINATION

TYPE MIXING SYSTEM (Pad or Mixer) pad

Firm Size Substrate Cost/cu.yd.
(sq.ft.) (cu.yd./yr) variable fixed total

25,000 125 #VALUE! #VALUE! #VALUE!

50,000 250 #VALUE! #VALUE! #VALUE!
100,000 500 #VALUE! #VALUE! #VALUE!
200,000 1000 #VALUE! #VALUE! #VALUE!
Your firm:
65,000 325 #VALUE! #VALUE! #VALUE!

Cost of commercial mix per cu.yd = $50.00

*SC18*

POINT OF INDIFFERENCE

Fixed costs for 1 year

PI =
(commercial cost per cu.yd) - (variable cost per cu.yd)

#VALUE!
PI = = #VALUE! cu.yd
$50.00 - #VALUE!

************************************************************************************************************
This completes the sample cost analysis for a pad system and one substrate recipe. Next
follows a blank worksheet in which you may enter all your own data.
************************************************************************************************************
*SC19*

FIXED COST DETERMINATION

Type of mixing system (PAD or MIXER)

1). DEPRECIATION of equipment (straight line)

Annual
Purchase price Useful Deprec.
Facility or Equipment - Salvage (A) Life (B) (A/B)

_____ _____ __ #VALUE!

_____ _____ __ #VALUE!
_____ _____ __ #VALUE!
_____ _____ __ #VALUE!
_____ _____ __ #VALUE!
_____ _____ __ #VALUE!
_____ _____ __ #VALUE!

Total annual depreciation ====> #VALUE!

*SC20*

FIXED COST DETERMINATION (cont.)

2). ANNUAL INTEREST = % interest /100 X (facilities & equip cost)/2

= 10 /100 X $0 = 0.00

3). TAXES = 1 % /100 X (equip.cost / 2)

1 /100 X $0 / 2 0.00
4). REPAIRS =

*SC21*

FIXED COST DETERMINATION (cont.)

5). INSURANCE = 0.5 % /100 X (equip.cost / 2)

= 0.5 /100 X 0 = $0.00

6). OFFICE EXPENSES = 1.0 % /100 X total office expenses

= 0.01 x 1 /100 X = $0.00

7). MANAGEMENT EXPENSE = 0.8 % /100 X general managers salary

0.8 /100 X = $0.00

*SC22*

FIXED COST DETERMINATION (cont.)

8). TOTAL FIXED COSTS

TFC = (1) + (2) + (3) + (4) + (5) + (6) + (7)

= #VALUE! $0.00 $0.00 $0.00 $0.00 $0.00 $0.00

= #VALUE!

9). FIXED COST PER UNIT

Cost per cu. yd. = TFC / cu. yd. per year

= #VALUE! / #VALUE!

*SC23*
VARIABLE COST DETERMINATION

Specify type of mixing system (PAD or MIXER) 0

1). SUBSTRATE COMPONENTS

Unit Cost per Units per Cost per
Component Size Unit cu.yd. cu.yd.

_________ _____ _____ _____ #VALUE!

_________ _____ _____ _____ #VALUE!
_________ _____ _____ _____ #VALUE!
_________ _____ _____ _____ #VALUE!
_________ _____ _____ _____ #VALUE!
_________ _____ _____ _____ #VALUE!
Total unadjusted cost/cu.yd ==> #VALUE!

Adjusted cost per cu.yd

= unadjusted cost X (1 + shrinkage, as a decimal fraction)
= #VALUE! X (1 + 0.1 ) = #VALUE!
*SC24*
VARIABLE COST DETERMINATION (cont.)

2). NUTRIENT AMENDMENTS

 Unit Cost/ Units/ Cost/
Amendment Size Unit cu.yd. cu.yd.

_____ __ _____ __ #VALUE!

_____ __ _____ __ #VALUE!
_____ __ _____ __ #VALUE!
_____ __ _____ __ #VALUE!
_____ __ _____ __ #VALUE!
_____ __ _____ __ #VALUE!
_____ __ _____ __ #VALUE!
Total cost/cu.yd. #VALUE!

3). FUEL OIL

Cost per cu. yd. substrate = cost of 1 gal. oil =

*SC25*
VARIABLE COST DETERMINATION (cont.)

4). LABOR

Labor cost = minutes per cu. yd / 60 X hourly wage x 1.22

= min/cu.yd. /60 X /hr
=$ $0.00

5). TOTAL VARIABLE COSTS

TVC per cu.yd = (1) + (2) + (3) + (4) = #VALUE!

= #VALUE! #VALUE! $0.00 $0.00

TVC per cu.ft = TVC per cu. yd. / 27 = #VALUE!

*SC26*

TOTAL COST DETERMINATION

TYPE MIXING SYSTEM (Pad or Mixer) 0

Firm size Substrate Cost/cu.yd.

(Sq.ft) (cu.yd/yr) variable fixed total

25,000 125 #VALUE! #VALUE! #VALUE!

50,000 250 #VALUE! #VALUE! #VALUE!
100,000 500 #VALUE! #VALUE! #VALUE!
200,000 1000 #VALUE! #VALUE! #VALUE!
Your firm:
0 0 #VALUE! #VALUE! #VALUE!

Cost of commercial mix per cu. yd. =

*SC27*

POINT OF INDIFFERENCE

Fixed costs for 1 year

PI =
(commercial cost per cu.yd) - (variable cost per cu.yd)

#VALUE!
= = #VALUE! cu.yd
$0.00 - #VALUE!

*SC28*
 STUDENT NAME

POINSETTIA COST ACCOUNTING (Demonstration 1)

1. CALCULATION OF FIXED OVERHEAD COST (OC)

OC

2. CALCULATION OF VARIABLE MATERIALS COST (VM)

VM

3a. CALCULATION OF VARIABLE LABOR TIME (VLT)

Planting Time
Handwatering Time
Pinching Time
Chemical Application Time
Automatic Watering & Fertilization Time
Pesticide Application Time
Sleeving & Harvest Time VLT
Variable Labor Time (sec.) 0

3b. CALCULATION OF VARIABLE LABOR COST (VL)

Hourly Wage VL
formula: Hourly Wage/3600*VLT*1.22 $0.0000

4. CALCULATION OF PLANT LOSS COST (PL)

Percent plant loss PL
formula: PL = %LOSS/100 * (OC+VM+VL) $0.0000

5. PRODUCTION COST PER POT (PCP) PCP

formula: OC + VM + VL + PL = PCP $0.0000

6. PRODUCTION COST/SQ.FT/WK (PCF) PCF

formula: PCP / (SPACE*WEEKS) #DIV/0!

7. PROFIT OR LOSS PER POT (PLP)

SALE PRICE PLP
$0.000

8. PROFIT OR LOSS/SQ.FT./WK
formula: PLP / (SPACE*WEEKS) #DIV/0!