Financial Feasibility of an Integrated Business Pattern for Laying Hens and Hybrid Corn on a Small Scale Business South Konawe Regency

Abstract

This study aims to analyze the financial feasibility of an integrated business pattern for laying hens and hybrid corn on a smallscale business in South Konawe Regency. The research variables are (a) investment costs; (b) fixed costs; (c) variable costs; (d) acceptance; and (e) income. The research data were analyzed by analysis of income (Pd), NPV, IRR, NBCR, PBP and BEP. The results showed that the monoculture business pattern in hybrid corn farming obtained the NPV value at the discount factor of 12% of Rp.49,952,913, the IRR of 28%, the Net B/C Ratio of 1.93 (>1), PBP for 5 years 8 month, and the production BEP is 3,193 kg and the price BEP is Rp2,448.33 and the laying hens business is obtained the NPV value at the discount factor of 12% is Rp101,629,457, the IRR is 28%, the Net B/C Ratio is 1.73 (>1), the of PBP for 4 years and 4 months and the production BEP of 9,528 racks and the price of BEP for Rp40,024. While the integrated pattern of laying hens breeders and hybrid corn farming obtained the NPV value at a discount factor of 12% of IDR 434,219,468, IRR of 55%, Net B/C Ratio of 3.51 (> 1) and PBP for 3 years 11 months, based on the investment criteria in the integrated business pattern of laying hens and hybrid corn shows a higher value when compared to the monoculture system with the assumption of a business age of 10 years. Keywords: integrated business pattern, for laying hens and hybrid corn, small scale business.