This study examined the relative effects of
corn price and cattle performance factors on
steer finishing cost of gain. Seasonal analysis
of cost of gain and the factors affecting it was
also conducted. Using over 10 years of
closeout data from two western Kansas feedyards,
corn prices, feed conversion, and daily
gain explained 93 to 94% of the variation in
steer finishing cost of gain. About 60% of the
variability was explained by corn price alone.
Cost of gain and feed conversion rates were
seasonally below average for steers placed in
February through August. Daily gain was
seasonally high for steers placed in March
through August. Because cost of gain is
heavily influenced by the volatility and
seasonal patterns of corn price and cattle
performance, cattle feeders should consider
this information when making placement
decisions.
