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A Cost Analysis Of The Addition Of An Onion Processing Line To Taylor Farms: Salinas, California, Garett Sabaska

Agribusiness

Taylor Farms has been one of the leading foodservice companies for the past 17 years. It is looking to expand its operations to include a line that would process red and yellow onions. To determine if this expansion would prove to be profitable, a projected budget for three scenarios was created. The scenarios were formulated to account for the “normal” base period, a “worst” case scenario, and a “best” case scenario. These three scenarios would account for periods where revenues and expenses were either higher or lower than the expected averages. The initial start-up costs as well as expenses of …