Jones Elevator is paying $6.60 for #2 yellow corn. It has a 2.5 percent dockage for every percentage point over 15.5 percent (dry corn) moisture. You can dry it for $0.28 per bushel. You have 132,000 bushels of corn with 22.5 percent moisture. Shrinkage is figured by adjusting the weight of wet corn to dry corn. One bushel of dry corn weighs 56 pounds. Which is the better deal, drying it yourself or selling it and taking the dock, and by how much?
What will be an ideal response?
dry it and make
$55,176
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