Cottonseed Meal

A.C. = w₀L_hS_f Labour ✦18.7 Shadow wage w₀ ✦16 an hour × L_h 0.5 hours per tonne × skill factor S_f 2.34 S_f for industry: training ✦45,000 against ✦45,000, queue 20 hours against 48 + Σ q_iP_irλ_i Materials ✦0 A joint product: its inputs are shared with a main product and not charged here. Sea Island Cotton: 1.3 t × $1,000/t × r 1.5 × border 0.97 × λ 1.00 + (D + M_o)α_e Capital ✦26.1 Depreciation and maintenance ✦18 per tonne × financing 1.45 × waste factor α_e 1.00 Financing is interest at 6% on equipment's average value over a 15-year life. α_e is 1.00 when maintenance hours and defects are on target. + Ep_e Energy ✦2.5 E 50 kWh per tonne × p_e ✦0.05 per kWh = ✦47.3

A.V. = rP*_world Accounted value ✦295 per tonne World price $175 per tonne plus freight and insurance 12.4% = P* $197 × r 1.5 crowns per US dollar Import parity: the price at the Commonwealth border for a good it could otherwise import. Observed abroad, not calculated: a wasteful producer raises only its own cost. = ✦295

Revenue = A.V. × Q Accounted revenue ✦8.29 m p.a. Domestic: 28,100 t × ✦295 = ✦8.29 m = ✦8.29 m

Surplus = (A.V. − A.C.) × Q − levies Accounted surplus ✦6.96 m p.a. Revenue ✦8.29 m − cost ✦47.3 × 28,100 t = ✦6.96 m Distributed 40% to reinvestment, 20% to the municipal aggregate and 40% swept to the Treasury. = ✦6.96 m