Establishing Price

	Price establishment per tonne of silage is frequently based upon the value of the grain at the time of harvest.
	Example of Establishing Price.
	Cost of silage ‘as-fed’ at the feedlot must also include all other related cost such as adjustments for inventory shrinkage while in storage, plus inventory losses associated with milling and distribution. Other feedstuffs acquired by contractual arrangements could follow similar adjustments to establish the purchase price.