Once you have decided to sell the grain you will receive a check and most times a settlement or assembly sheet. The settlement (assembly) sheet should show the scale ticket numbers, type of grain, gross and net bushels, any dock-age, price per bushel, and any checkoff fees that have been deducted. The settlement could be included on the check stub.
Full Answer
How long does it take to settle a grain purchase contract?
Grain Settlement When you decide how the grain is to be handled (sell, store, or grain purchase contract) you must notify the grain dealer or warehouseman. The PUC strongly recommends this be done within 30 days of the delivery date.
How effective is the official US grain inspection system?
The effectiveness of the official U.S. grain inspection system depends largely on an inspector’s ability to sample, inspect, grade, and certify the various grains for which standards have been established under the United States Grain Standards Act (USGSA), as amended.
What is a representative sample in Grain Inspection?
The terms “Representative Sample” and “Original Sample” are used interchangeably in the Grain Inspection Handbook. Both terms refer to a sample size of approximately 2,500- 3,000 grams in size drawn from a lot by official inspection personnel using approved procedures and sampling devices.
How do you read a settlement statement for a mortgage?
At the end of the settlement statement you’ll find a summary of the money that you owe (“Due from Seller”) and money that’s coming your way (“Due to Seller.”) The “Totals” row represents your credit minus your debit column — and hopefully you’re well in the black!
How do you read a grain market?
How to read grain prices: a quick reference guideCash price = futures + basis +/- premium and discounts.Last: The last or most current trade price. ... Change: The difference between current price and previous settlement price.Open: Opening price for today.High: The highest trading price for today.More items...•
How do you read a commodity market?
The most common type of commodity price chart is the bar chart, where daily prices for a particular contract month are plotted as a vertical bar. The top of the bar (or line) represents the high price for the day. The bottom is the day's low and a small horizontal tic on the right side is the closing price.
How is grain basis calculated?
Grain Basis is the difference between the price of a commodity in the local market subtracted from the price of the commodity in the futures market. Let's use corn as an example. It is April 10th and a farmer in Fargo, ND has corn in the bin and wants to sell. His price at the local elevator is $4.50 per bushel.
What is basis in grain pricing?
Basis is the difference between the cash price paid for your grain and the nearby Chicago Board of Trade futures price. Basis is often called "the voice of the market" because it's an indication of whether or not the market wants your grain. A narrow or improving cash basis is a signal that the market wants your grain.
How do grain contracts work?
A grain futures contract is a legally binding agreement for the delivery of grain in the future at an agreed-upon price. The contracts are standardized by a futures exchange as to quantity, quality, time, and place of delivery. Only the price is variable.
How do you analyze a commodity?
Technical analysis tipsOptimism is a normal human trait. ... Look at the long term. ... Establish resistance and support planes. ... Draw trend lines and trading channels.Maintain moving averages.Watch for obvious cycles, formations and patterns.Make predictions and evaluate performance.
How does selling grain work?
Simply put, when a farmer forward contracts his grain in the midst of a carry market, then he is capturing the carry in the market. Once harvest occurs and the grain goes into a bin, the carry from that point on belongs to the owner of that grain bin whether it is a farm bin or a commercial bin.
How do grain traders make money?
Traders make money by buying commodities (or commodity derivatives) for a certain price and then subsequently selling them for a higher price. The buyer of a futures contract makes money if the future market price of the commodity exceeds the market price of the commodity at the time of purchase.
What is a basis price?
What Is a Basis Price? Basis price is a way of referring to the price of a fixed-income security that references its yield to maturity. It is commonly used to refer to bonds and it implies the yield to maturity at the moment when an investor makes a bond purchase.
What does Basis mean when selling corn?
More specifically, basis is the difference between the current local cash price and the futures price of the contract with the closest delivery month. For example, corn basis in February is usually defined as the difference between the current cash price and the current March futures price.
How do you read a CBOT file?
Corn (CBOT) 5,000 bu.; cents per bu. The third line of the table reads as follows: "Corn (CBOT) 5,000 bu; cents per bu." and means that the table applies to the Chicago Board of Trade (CBOT) corn contract and the contract size is 5,000 bushels.
How does Basis work?
Basis is defined as the cash price minus the futures price and is calculated by subtracting the appropriate futures market quote from the spot price (current cash market price). If the spot price for corn is $2.85 per bushel and the nearby futures contract is $2.75, then the basis is $2.85- $2.75 = +$. 10.
What are the 3 types of commodities?
Since there are so many commodities, they are grouped into three major categories: agriculture, energy, and metals.
Which is the best indicator for commodity trading?
Momentum indicators are the most popular for commodity trading, contributing to the trusted adage, “buy low and sell high.” Momentum indicators are further split into oscillators and trend-following indicators.
How are commodity prices quoted?
The price of commodities is quoted in two different ways. The first is the market or the market futures price, which is the price reported in the news. The spot price, on the other hand, is the cash price of commodities. This is what traders actually for the commodity on the day of purchase.
How do you read a commodity futures chart?
The left horizontal line identifies the opening price, the bottom of the bar the low price, the top of the bar the high price and the right horizontal line the session's high. A succession of higher highs indicates an upward trend; a series of lower lows indicate a downward trend.
How long does it take to get grain delivered?
The PUC strongly recommends this be done within 30 days of the deliverydate.
What is grain bank?
Grain Bank is the term used for grain that is placed in storageto be withdrawn and processed into feed as needed. If the grain is placed in grain bank the warehouseman is not required to issue a Warehouse Receipt, but is required to keep a ledger of the grain each producer has in grain bank. For more information on storing grain refer to the brochure entitled “Storing Grain At Elevators.”
What is a settlement statement?
A settlement statement is an itemized list of fees and credits summarizing the finances of an entire real estate transaction. It serves as a record showing how all the money has changed hands line by line.
Who is responsible for preparing the settlement statement?
Whoever is facilitating the closing — whether it be a title company, escrow firm, or real estate attorney — will be responsible for preparing the settlement statement.
Is a settlement statement the same as a closing statement?
Yes, a settlement statement is the same as a closing statement, though “settlement” is the formal term most likely to be used by the real estate industry.
What is an ‘excess deposit’ at closing?
A particular line item that causes confusion on the seller’s settlement statement is the “Excess Deposit.” What is an excess deposit, and who will receive the funds listed on that line?
What does an impound account do at closing?
At closing the buyer sets up an impound account that allows them to bundle the cost of their mortgage principal, taxes, mortgage insurance, and other monthly costs into one payment. The lender likes this because they can make sure the new owner will keep up to date with all the payments associated with the home.
What information is needed to complete a closing document?
At the top of the document (before you get to the portion that looks like a spreadsheet) you’ll see a few boxes for inputting information that records basic details about the transaction, such as the names of the buyer and seller, the property address, and the closing date.
What is a seller's net sheet?
The seller’s net sheet is not an official document but an organizational worksheet that your agent will fill out to estimate how much you’ll pocket from your home sale after factoring in expenses like taxes , your real estate agent’s commission, your remaining mortgage, and escrow fees.
What is the basis of determination in the grain inspection manual?
Each chapter in the Grain Inspection Handbook, Book II , Grain Grading Procedures , provides a definition for basis of determination which establishes the rules for testing/analyzing all factors. Do not analyze any factor until the basis for making the determination is known.
What is a file sample?
File Sample. The extra unworked portion cut from the representative sample that may be used in conjunction with the work sample when needed . Samples retained for grade should be approximately 1,400 grams or more, except for the lighter grains (e.g., oats or barley) that require less grain to determine grade. For factor only tests or official criteria (e.g., wheat protein or falling number), smaller file samples should prove sufficient to handle review services. File samples larger than 1,400 grams may be retained if deemed necessary to provide subsequent inspection service. Kind of Grain. A determination as to whether a sample meets the definition of a specific grain or oilseed as established in the Official U.S. Standards for Grain. Official Agencies (OA). State and private partners authorized by FGIS to provide official inspection and weighing services to the domestic and export grain trade on FGIS behalf. Official Personnel. Any authorized Department employee or person licensed by FGIS to perform all or specified functions under the Act. Official Service Providers (OSP). Federal offices and State and private agencies authorized by FGIS to provide official inspection and weighing services to the domestic and export grain trade. Representative Portion. A specified quantity of grain divided out from the representative sample by means of an FGIS-approved device. Representative Sample. The terms “Representative Sample” and “Original Sample” are used interchangeably in the Grain Inspection Handbook. Both terms refer to a sample size of approximately 2,500- 3,000 grams in size drawn from a lot by official inspection personnel using approved procedures and sampling devices. For more information on sampling, refer to Book I, “Sampling Procedures.” Review Inspection. All follow-up grade inspections available (reinspection, appeal, or board appeal). Work Sample. A representative portion of grain; approximately 1,000 - 1,050 grams, used to make determinations required for a particular grain.
What temperature is a grain moisture meter?
Environmental Conditions. Ensure that the moisture meter is placed in a room that is within the manufacturer’s basic requirements of 45-100°F (7- 38°C). To reduce the chance for error codes and minimize the effects of temperature in official inspection, it is recommended that the laboratory temperature be maintained within the range of approximately 60-85°F (15-30°C). b. Sample Temperature. The maximum temperature range limit is 0 to 113°F (-18 to 45°C). If the grain sample has a temperature outside this range, an error message will be displayed. The moisture sample temperature is more restricted for some grain types and moisture ranges. c. Analytical Portion Size. A representative portion size of approximately 400 grams is required for moisture testing purposes for oats and sunflower seed. For all other grains, a portion of approximately 650 grams is required. d. Type of Container. Unless they can be tested within approximately 15 minutes, keep all samples in sealed, moisture-proof containers. Do not use containers, such as paper bags or fiber cartons, for moisture samples because they tend to draw moisture from the sample. Containers found to be most practical for retaining moisture are plastic, 1-pint containers.
What forms are used to record sampling and inspection?
Forms. FGIS personnel must use the following to record all sampling and inspection information: a. FGIS-920, “Grain Sample Ticket” b. FGIS-918, “Sample Pan Ticket” c. FGIS-919, “Sampling Ticket” d. FGIS-921, “Inspection Log” Official Agency personnel must use similar work forms to record all sampling and inspection information. Official inspection personnel must document inspection information during sampling and grading. Additional information is in the Grain Inspection Handbook IV, Forms and Certificates.
What is the GAC2500-UGMA?
Note: The GAC2500-UGMA and Perten AM 5200-A are equip ped to report moisture outside the approved range for the calibration. An error indication will notify the operator if the calibration range is exceeded. When the moisture reading exceeds the approved calibration range, another determination must be made from the work sample or file. If the second determination is not outside the approved calibration range, use the second moisture result. Otherwise, the final moisture must be based on the average of the two determinations and rounded to the nearest 0.1 percent moisture.
What does a sampler do?
The sampler must: (1) observe the uniformity of the grain as to class, quality and condition; (2) make preliminary determinations for "Heating, Infestation, and Odor;” (3) draw the representative sample; and (4) report relevant information to the inspector. The inspector must review the sampler's remarks/information. If the inspector suspects the sample is not representative, the inspector should consult the sampler and, if necessary, dismiss the inspection or arrange to obtain another sample.
How does a barley pearler work?
The barley pearler dehulls barley and sunflower seed for certain factors. The machine uses a carborundum wheel controlled by a time switch. The wheel removes the hulls and a screen separates the hulls and powdered barley or sunflower seed hulls from the pearled barley or sunflower seed. Barley pearlers are individually standardized by adjusting the length of time the barley remains in the pearling chamber while the wheel is in motion. Post the standardized pearling time clearly on each machine. General Operating Procedures. a. Run the pearler and open the slide to ensure that the pearling chamber is empty. b. Remove and empty the drawers that catch the barley hulls and pearled portion. Replace them. c. Securely close the slide.
Some Things Are Standard
Now It Depends Where You Go
- One method is to next account for shrink, which has two components: drying shrink and foreign material shrink. Drying shrink is the weight that will be lost by drying "wet" grain down to the standard moisture—the larger the difference between the measured "wet" and standard moisture, the more water will be lost, and thus greater shrinkage will be experienced during drying. Details …
Putting It All Together
- Two simplified sample weigh tickets, and payouts from the same load of soybeans taken to two different mills are listed below. Discount schedules from the two example mills above will be used. Example 1—PSU Mills, Shrink Method, Soybeans:
References
- Hicks, D.R., and H.A. Cloud. "Calculating Grain Weight Shrinkage in Corn Due to Mechanical Drying." National Corn Handbook fact sheet NCH-61 Staton, M. "Understanding Soybean Discount Schedules." Michigan State University Extension.