INTRODUCTION

Name of Project: Cost Analysis on the production of 100 Broilers.

Location of Project: Bushed Street, Cornelia Ida. West Coast Demerara.

Duration: Six(6) weeks (5th February, 2015 – 21st March, 2015).

The baby chicks had arrived on the 5th February, 2015.

The chickens were sold on the 21st March, 2015.

LAYOUT OF PEN
DESCRIPTION OF ACTIVITIES
Cleaning and Disinfecting of Pen

The pen was cleaned and disinfected on the 5th February, 2015, before the baby chicks were
brought in. This was done so as to ensure that the baby chicks will not contract any sort of
contamination and any diseases.

Giving feed and water

Every day for the six weeks period, the chicks would be checked upon. The water cans was
cleaned and refilled with fresh water and the feed cans were refilled with the appropriate feed. In
the first two weeks period, the chicks were fed with Broiler Starter Feed, after which they were
continuously fed with Broiler Grower Feed.

Changing of Litter and removal of dead chicks

The litter used in the pen was paddy shell. The litter in the pen was changed on a regular basis,
so the chicks can be in a clean and healthy environment, which would decrease the chances of
disease contamination. Whenever dead chicks were found, they were disposed of in a proper
manner. The casualty was reported to the subject teacher and recorded in the schedule of
operations accordingly.

Marketing

On the 21st March, 2015, the fully grown chickens were weighed and sold at a price of $180.00
per pound.
MATERIALS USED IN THIS PROJECT

WATER CAN FEED CAN

STARTER GROWER
SCHEDULE OF OPERATIONS
Date Activity
05/02/2015 The pen was cleaned and disinfected for the new batch
06/02/2015 90 broilers were brought. Feed and water cans were filled. One dead chick was removed.
07/02/2015 Water and feed cans were filled.
08/02/2015 Water and feed cans were filled.
09/02/2015 Water and feed cans were filled.
10/02/2015 Water and feed cans were filled.
11/02/2015 Water and feed cans were filled.
12/02/2015 Water and feed cans were filled.
13/02/2015 Water and feed cans were filled.
14/02/2015 Water and feed cans were filled.
15/02/2015 Water and feed cans were filled. One dead chick was removed.
16/02/2015 Water and feed cans were filled.
17/02/2015 Water and feed cans were filled.
18/02/2015 New bag of feed was opened.
19/02/2015 Water and feed cans were filled.
20/02/2015 Water and feed cans were filled.
21/02/2015 Water and feed cans were filled.
22/02/2015 Water and feed cans were filled.
23/02/2015 Water and feed cans were filled.
24/02/2015 Water and feed cans were filled.
25/02/2015 Water and feed cans were filled.
26/02/2015 Water and feed cans were filled.
27/02/2015 Water and feed cans were filled.
28/02/2015 Water and feed cans were filled.
01/03/2015 Water and feed cans were filled.
02/03/2015 Water and feed cans were filled.
03/03/2015 Water and feed cans were filled. One dead chick was removed.
04/03/2015 Water and feed cans were filled.
05/03/2015 Water and feed cans were filled.
06/03/2015 New bag of feed was opened.
07/03/2015 Water and feed cans were filled.
08/03/2015 Water and feed cans were filled.
09/03/2015 Water and feed cans were filled.
10/03/2015 Water and feed cans were filled.
11/03/2015 Water and feed cans were filled.
12/03/2015 Water and feed cans were filled.
13/03/2015 Water and feed cans were filled.
14/03/2015 Water and feed cans were filled.
15/03/2015 Water and feed cans were filled.
16/03/2015 Water and feed cans were filled.
17/03/2015 Water and feed cans were filled.
18/03/2015 Water and feed cans were filled.
19/03/2015 Water and feed cans were filled.
20/03/2015 Water and feed cans were filled.
21/03/2015 The chicks were sold.
 COMPLETE BUDGET
Projected Expenditure

Items Unit Cost($) Quantity Total($)

Chicks 170 100 17000
Feed-starter---- 6000 3 18000
-grower--- 5900 4 23600
Detergent 360 1 360
Labour 500/wk 6 wks 3000
TOTAL 61960

Projected Income

Item Quantity Sold Weight(lbs) Cost/lb($) Total($)

chickens 90 450 180 81000

Projected Surplus = Projected Income – Projected Expenditure

= $81000 - $61960

=$19040
 ACTUAL INCOME AND EXPENDITURE
Actual Expenditure

Items Unit Cost($) Quantity Total($)

Chicks 170 100 17000
Feed-starter---- 6000 3 18000
-grower--- 5900 4 23600
Detergent 360 1 360
TOTAL 58960

Actual Income

Item Quantity Sold Weight(lbs) Cost/lb($) Total($)

chickens 97 524 180 94320

Projected Surplus = Actual Income – Actual Expenditure

= $94320 - $58960

=$35360
ANALYSIS

COMPARISON OF BUDGET AND ACTUAL INCOME AND EXPENDITURE

Upon comparing the projected expenditure ($61960) and actual expenditure ($58960), what
showed was that the projected expenditure was higher than the actual expenditure. There was a
decrease of $3000. This was so because there was an expense for labour in the projected
expenditure and so this expense was not incurred while conducting this project because the
students carried out the necessary activities.

When comparing the projected income ($81000) and actual income ($94320), what showed was
that the actual income was higher than the projected income which is beneficial. There was an
increase of $13320. This difference was shown because the projected income expected a 10%
mortality rate but the actual mortality was only 3 chicks. This increase is beneficial because there
would be an increase in the actual surplus.

Between the projected surplus ($19040) and the actual surplus ($35360), there was an increase of
$16320 in the actual surplus which is beneficial as more income came than expected. There was
a higher actual surplus because of the labour expense not incurred.
GENERAL COMMENTS
Upon doing this project, it turned out to be successful as a profit was made. This was so because
of the careful planning of the project, the accurate information obtained and the hard work and
dedication of the students towards completing this project. From the information obtained, a
profit of $35360 was received by the school after sales. Skills and experience were harnessed by
the students in this project which may be helpful in the future. The profit has been increasing as
time passes by, so the school can have enough finance to use for future projects.
CONCLUSION
In conclusion, a surplus of $35360 was received which means that the project was successful.
This can be used as finance for future use, maybe doing this project again with another batch of
students so there can be a better chance that the surplus may increase as time passes by. So it gets
better and better when doing an educational and inspirational project like this of which the
necessary skills are acquired for future use.
RECOMMENDATIONS
What could be implemented is that the pen should be equipped with more feed and water cans so
that there is adequate food and water for the chickens and more nutrients to be supplied. Also the
pen should be increase in size so that the chickens can have enough space to carry out their waste
metabolic activities.