What/If Analysis
Introduction: This guide will walk you through the process of using the What/If Analysis tool in Harvest Profit. This tool allows you to evaluate how different yield and price scenarios could impact your overall profitability, helping you make informed decisions for your farm.
Steps to Use the What-If Analysis Tool
- Access the What/If Analysis Tool
- Navigate to the What/If Analysis tool in your Harvest Profit account.
- Select the Crop
- Choose the crop you want to analyze. For this example, we'll use corn.
- Review Current Settings
- The tool will display your current crop settings, such as planted acres, APH (Approved Production History), and average sold price. Review these settings to ensure accuracy.
- Spring price is set by the USDA each year. Your crop insurance agent should be able to tell you what the spring price is.
- Adjust Yield and Price Scenarios
- Use the What-If Analysis tool to simulate different yield and price scenarios. For example:
- Yield: 180 bushels per acre
- Price: $4.25 per bushel
- Observe how these changes affect your profitability.
- Use the What-If Analysis tool to simulate different yield and price scenarios. For example:
- Evaluate Profitability
- Review the tool's output to see how different scenarios impact your profit per acre. The tool provides a visual representation, with green areas indicating profitability, yellow areas showing break-even points, and red areas highlighting losses.
- Consider Indemnity Payments
- The tool also allows you to explore scenarios where you might receive indemnity payments due to low yields or unfavorable market conditions. Adjust the coverage percentage to see how it affects your overall profitability.
Support
If you have any questions or need further assistance:
- Email Support: Contact us at support@harvestprofit.com.
- Help Button: Click on the Help button in the bottom right-hand corner of the screen, then select the Ask tab. Your email will be automatically populated, and you can send us a message directly.