Annual Net Revenue Research Articles

Bringing economic development for whom? An exploratory study of the impact of the Interoceanic Highway on the livelihood of smallholders in the Amazon

Significant research efforts have been devoted to characterizing smallholding productive systems and assessing the relative contribution of small-scale farming to global food production. However, there is a noted paucity of studies addressing the determinants of and contributors to income generation of smallholders around the world, particularly in the Amazon forest. Moreover, while road development in the Amazon has been heavily discussed, the impacts of infrastructure projects, such as road paving, on smallholders’ livelihoods remain uncertain. Here we explore the relevance of agriculture, livestock rearing and collection of non-timber forest products (NTFP) as income providers of smallholders in the Amazon forest in Madre de Dios-Peru, after the paving of Interoceanic South Highway (ISH), a large infrastructural project connecting Acre state in Brazil with Cusco in Peru. We interviewed 62 smallholder families in an area of 403 km2 along the road from Iñapari to Mazuko near the tri-national border of Brazil, Perú and Bolivia. We applied a multinomial statistical model to estimate the proportion of annual net revenue related to each productive system from selected predictor variables. Our results show that smallholders’ net revenue originates from a mix of productive systems including agriculture (rice, corn), livestock rearing (cows) and others (poultry, pigs, sheep) as well as NTFP extractivist activities (Brazil nut). Average net revenue is of USD 35.2 ± 25.7 ha−1yr−1 suggesting that economic returns to smallholders remain low even after the paving of ISH. This indicates that connection with markets alone is not sufficient to increase rents of smallholder families.

Comparative study of flexibility enhancement technologies for the coal-fired combined heat and power plant

The flexibility enhancement of the coal-fired combined heat and power (CHP) plant can contribute to both renewable energy integration and decarbonization. In this research, we classify the flexibility enhancement technologies into the “power to heat (P2H)” mode and “auxiliary heat source (AHS)” mode based on their principles and operational strategies. Then thermodynamic performances of both modes are compared with the designed heat load and one-day loads. After that, the techno-economic analysis is also conducted. Results show that with the designed heat load, the power load factor range of the CHP plant is extended from 54.87%–78.72% to 25.20%–100% with the AHS mode, and to 0–78.72% with the electric boiler. And compared to integration with the heat-only boiler, the coal consumption of CHP plant can be increased by 2.27% with the thermal energy storage (TES) system (Electric boiler), and reduced by 0.78%, 1.85%, 2.33%, 3.34% with the electric boiler, electric heat pump, TES system (Extraction steam) and waste heat recovery, respectively. The techno-economic analysis indicates that during the heating period, the net annual revenues of the TES system and electric boiler are 2.14 M$ and 1.71 M$ higher than that of the heat-only boiler. This study gives a methodology on choosing the technology to enhance the flexibility for the coal-fired CHP plant.

On the Optimality of Inventory and Shipment Decisions in a Joint Three Echelon Inventory Model with Finite Production Rate under Stock Dependent Demand

Abstract This paper develops a mathematical model for a joint three-level supply chain with a single manufacturer (may be a supplier) supplying a single kind of product to a single distributor (may be a wholesaler) and then to a single retailer (may be a buyer). The model is developed for finite production rate and the product demand is expressed in terms stock level. In the proposed work, ordering/setup costs, carrying costs and transportation costs are considered for model development. Optimal inventory and shipment decisions are treated as decision variables. The objective of the proposed model is to demonstrate the optimality of decision variables under the novel idea of stock dependent demand. Also aimed at studying the optimal annual net revenue and total relevant costs of the respective entities and the supply chain. Computer programme is written in MATLAB with respect to the optimality criteria derived and the model is solved with the help of case study data. Also the sensitivity analysis is carried out to show the variation in optimality of decision variables and objective function with respect to model parameters. Finally few managerial implications are discussed from the research findings.

Impacts of climate change, weather extremes and alternative strategies in managed forests

ABSTRACTThe growth rate of most tree species in boreal forests will increase with changing climate. This increase is counterbalanced by an increased risk of damage due to extreme weather events. It is believed that the risk of storm damage will increase over time, especially if forests continue to be managed as they are today. In this study, a new landscape-level hybrid forest growth model 3PG-Heureka was developed and simulations were performed to predict the damage caused by storm events in Kronoberg county, over a period of 91 years (2010–2100) with different alternative management regimes under various climatic scenarios (historic, RCP4.5 and RCP8.5). The results indicate that damage caused by storm events could drastically reduce the annual volume increment and annual net revenue obtained from forest landscapes if current forest management regimes are used. These problems can be reduced by adopting alternative management strategies involving avoiding thinning, shorter rotation periods and planting alternative tree species. Alternative management strategies could potentially improve annual volume increments and net revenue obtained while reducing storm-felling. Planting Scots pine instead of Norway spruce across the landscape to minimize storm damage is predicted to be less effective than reducing rotation periods.

A novel cascade energy utilization to improve efficiency of double reheat cycle

Large mean terminal temperature difference of conventional regenerative air heater and high superheat degree of bleeding steams are the bottleneck of conventional steam rankine cycle, which limits the cycle for further efficiency improvement. In this study, a state-of-the-art double reheat power plant is selected as the reference cycle. A novel cycle covering steam, water and air process is invented based on the systematic combination of flue gas heat recovery and bleeding steam cascade energy utilization.Thermodynamic model is developed to analyze the performance improvement and exergy method is applied to validate and identify the cycle thermodynamic efficiency advantage. Simulation result presents novel cycle net heat rate is improved by 104.8 kJ/kWh and cycle net efficiency is increased by 0.61%. Feed water pump turbine inlet steam connection optimization accounts for 14 kJ/kWh net heat rate benefits for the novel cycle. Feasibility study proves it is possible to implement the novel cycle in a newly planned power plant. Based on techno-economic analysis, it is found that the total investment capital of novel cycle is 7.44 million US dollars and net annual revenue is 0.59 million US dollars compared with the reference cycle. Static capital investment paid back period is expected within 15 years in a newly planned power plant.

Structural production factors’ impact on the financial performance of agribusiness cooperatives in Brazil

PurposeStudies on the performance of agribusiness cooperatives in Brazil focus on economic and financial aspects. The purpose of this paper is to further delve into such studies by investigating which commonly measurable structural production factors (horizontal, vertical and lateral diversification; operating area; number of associates; and time in operation) have greater impacts on the financial performance of such cooperatives.Design/methodology/approachTo achieve such a goal, a survey was conducted with a sampling pool divided by size (annual net revenues of US$ 50 million or higher), and the questionnaire was employed as a method of data collection. The sample was concentrated in the southern, south-eastern and mid-western regions of Brazil; classified by size; and deemed adequate after several adequacy tests.FindingsThe results were analysed using Spearman’s correlation, which showed that there were no significant correlations between the structural production factors considered in this study and the economic-financial performance of agricultural cooperatives, which leads to questions about the effectiveness of employing diversification strategies with a conjoint approach. Nonetheless, it was possible to identify several relationships not mentioned in the original hypotheses that might be addressed further in future studies.Research limitations/implicationsThe data obtained should be interpreted with caution because heteroscedasticity was detected. Although the cause could not be clearly identified, the presence of heteroscedasticity could mean that smaller and similar cooperatives present similar variation in their diversification and production base strategies.Originality/valueThis work sought to generate knowledge regarding operations management, which was achieved by demonstrating that production diversification in a dynamic and relevant economic sector, that is, agricultural cooperatives, is limited in terms of financial return when performed in an isolated mode. Hence, cooperatives’ production managers should take into account the totality of structural production factors during their planning activities.

Penentuan Umur Optimal Peremajaan Kelapa Sawit di Kabupaten Paser Kalimantan Timur

Determining of optimal replanting age of oil palm helps farm households to prepare replanting investment. This research was to detemine optimal age for replanting of oil palm and to evaluate the sensitivity of optimal replanting age when there are changes in output price, cost, interest rate, and yield. The number of samples are 268 oil palm farm household. The farmers, age of oil palm and location were taken based on purposive sampling. Data were analyzed using profit maximization concept with Comparison of Equivalent Annual Net Revenue (CEAN) method. The result showed that the optimal replanting age of oil palm with quadratic production function and cubic production function was between 33 and 35 years. The optimal replanting age was sensitive to changes on interest rate, price of fresh fruit bunch, farm cost, and productivity.

Economic Impact of Residual Nitrogen and Preceding Crops on Wheat and Canola

Core Ideas Study on the residual effects of preceding crops and past N management on wheat and canola.Initial positive impact of legume preceding crops on net revenue diminished over time.Residual N had positive effects on net revenue, especially at the highest N rate.Annual fertilization based on production capacity of the region gave the best economic results.Dry conditions allow excess N to remain in soil as residual N, reducing the economic risk of fertilizer over‐application. A 6‐yr study was conducted across western Canada to evaluate the residual effects of preceding crops (PCs) and past N rate management on the economics of subsequent wheat (Triticum aestivum L.) and canola (Brassica napus L.). Field pea (Pisum sativum L.), lentil (Lens culinaris Medik.), canola and wheat harvested for grain, and faba bean (Vicia faba L.) grown and harvested for grain or as a green manure were direct seeded in 2009. Canola was seeded in 2010, barley in 2011, and canola again in 2012 with fertilizer N applied at varying rates for each crop. Spring wheat grown in 2013 and canola in 2014, both without N application, were used to determine residual PC and residual N effects. The positive benefit of legume PCs on the annual crop net revenue (NR) of wheat and canola crops diminished over time. Residual N from previously applied N had positive effects on annual wheat NR in 2013, but only the highest application rate contributed significantly to canola NR in 2014. The NR was greatest with an annual fertilization program based on regional production capacity, but under the dry conditions of the Canadian prairies excess N remaining in the soil after crop production could remain in the soil as residual N to be used by following crops. While generally insufficient to optimize crop production, residual N can reduce the economic risk from over‐application of fertilizer if N is not utilized by the crop due to adverse growing conditions in the year of fertilizer application.

The Relative Financial Cost and Benefit of an Ophthalmology Resident Compared to an Advanced Practice Provider, Optometrist, or Faculty Ophthalmologist

Objective The main objective of the article is to determine the relative direct financial cost and benefit of an advanced practice provider (APP), optometrist, and faculty ophthalmologist compared with an ophthalmology resident. Design Single center cost–benefit financial analysis. Methods The direct total expenses, including mean salary and benefits; the cost/week, based upon calculated hours worked; and net revenue, based upon technical collections subtracted from total expenses were collected for all APPs, optometrists, faculty ophthalmologists, and ophthalmology residents at the University of Kentucky for the 2016 to 2017 academic year. Optometry and ophthalmology faculty collections were adjusted for clinical full-time equivalents. Results Total annual mean salary and benefits for 242 APPs, 4 optometrists, 17 faculty ophthalmologists, and 9 ophthalmology residents were $126,797, $117,021, $338,233, and $71,210, respectively. Assuming a 50-hour-work week, the calculated hourly costs were $48.77, $45.01, $130.09, and $27.39, respectively. Ophthalmology residents do not directly generate work relative value units or collections. On this basis, the net annual revenues were −$62,729, $122,757, $566,119, and −$71,210, respectively. Conclusions Ophthalmology residents are relatively inexpensive compared with potential substitute health care providers, although they are unable to generate direct revenue. Indirect costs and benefits are likely substantial, but currently incalculable. More candid analyses of the role and financial impact of trainees in health care are needed.

Optimal pricing and inventory decisions in a centralised and de-centralised two-echelon inventory system under nonlinear price dependent demand

In this paper, a two-echelon inventory system with a single-manufacturer and single-retailer is considered. Mathematical model for both centralised and decentralised supply chain (SC) is developed by incorporating setup/ordering cost, carrying cost and transportation cost of the respective entities of the chain. Replenishment quantity of the retailer and the number of shipments from manufacturer to retailer are considered as the decision variables in the model. The objective of the proposed model is to demonstrate the optimality of the annual net revenue of the SC and the decision variables under nonlinear price-dependent demand. A numerical example is devised and the model is solved using the computer program written in MATLAB. Also, the sensitivity analysis is carried out to demonstrate the variation in the objective function with model parameters. From the findings of the research, it is concluded that with centralised decisions, percentage increase in the optimality of the annual net revenue of the SC decreases with manufacturer's unit cost whereas increases with retailer's unit cost.

Integrated microalgae biorefinery: Impact of product demand profile and prospect of carbon capture

AbstractAn integrated microalgae biorefinery producing fuels and value‐added products needs to be optimally synthesized for realizing its potential. A large‐scale optimization model considering biorefinery co‐producing biodiesel, polar lipid, protein, and reduced sugar from microalgae has been previously developed, and biodiesel production without any co‐products manufactured was found to be non‐profitable. This work uses the model to study the impact of demands and selling prices of value‐added co‐products on the optimal biorefinery synthesis and the net annualized life cycle cost (ALCC) of biodiesel production. The simulation results showed that production of reduced sugar to the maximum extent resulted in an annualized profit of US$27.23/L of biodiesel production. Individual scenarios for mandatory production of protein and polar lipid resulted in an ALCC of US$15.11/L and US$13.20/L, respectively. The case of fluctuations in demand and selling prices of the end‐products was also analyzed. Additionally, the potential of a biorefinery to sequester atmospheric carbon dioxide from a coal‐fired 500 MW power plant, without any preferential product, is also modeled. Emission of carbon dioxide is considered to attract a penalty. For this study, with a low‐value biodiesel selling price (US$0.48/L), the biorefinery captured 2.77% of the available carbon dioxide and recorded a net annual deficit of US$9.71 million. On the other hand, for a high price of biodiesel (US$8.74/L), 99.89% of the carbon dioxide was captured to have biodiesel and reduced sugar co‐produced, yielding a net annual revenue of US$303.27 million. © 2017 Society of Chemical Industry and John Wiley & Sons, Ltd

An Improved System for Utilizing Low-Temperature Waste Heat of Flue Gas from Coal-Fired Power Plants

In this paper, an improved system to efficiently utilize the low-temperature waste heat from the flue gas of coal-fired power plants is proposed based on heat cascade theory. The essence of the proposed system is that the waste heat of exhausted flue gas is not only used to preheat air for assisting coal combustion as usual but also to heat up feedwater and for low-pressure steam extraction. Air preheating is performed by both the exhaust flue gas in the boiler island and the low-pressure steam extraction in the turbine island; thereby part of the flue gas heat originally exchanged in the air preheater can be saved and introduced to heat the feedwater and the high-temperature condensed water. Consequently, part of the high-pressure steam is saved for further expansion in the steam turbine, which results in additional net power output. Based on the design data of a typical 1000 MW ultra-supercritical coal-fired power plant in China, an in-depth analysis of the energy-saving characteristics of the improved waste heat utilization system (WHUS) and the conventional WHUS is conducted. When the improved WHUS is adopted in a typical 1000 MW unit, net power output increases by 19.51 MW, exergy efficiency improves to 45.46%, and net annual revenue reaches USD 4.741 million while for the conventional WHUS, these performance parameters are 5.83 MW, 44.80% and USD 1.244 million, respectively. The research described in this paper provides a feasible energy-saving option for coal-fired power plants.

STRUCTURAL RICARDIAN ANALYSIS OF SOUTH-EAST ASIAN AGRICULTURE

This paper examines the impact of climate change on the net revenue (NR) of farmers from Bangladesh, Indonesia, Sri Lanka, Thailand and Vietnam. Two Ricardian models are estimated: (1) a traditional Ricardian model of the impact of climate change on annual farm NR and (2) a structural Ricardian model that first estimates the number of growing seasons and then the net revenue per season. The traditional model reveals annual NR is sensitive to autumn and summer climate variables. The seasonal effects offset each other so that uniform marginal effects are insignificant. Future climate scenarios likely harm Sri Lanka but could either benefit or harm Indonesia depending on the climate scenario. The structural Ricardian model suggests climate change will reduce the net revenue of three-season farms and increase the revenue of one-season farms causing farmers to switch from three-season farming to one-season farming. Expected losses by 2100 for the region range from [Formula: see text]10% to [Formula: see text]18%. Impacts in Indonesia may be higher ranging from [Formula: see text]20% to [Formula: see text]28%.

A novel mechanism for exhaust steam waste heat recovery in combined heat and power unit

Combined heat and power (CHP) has been identified as an important approach for fossil fuel utilization with high efficiency and pollutant concentration control. In this study, an optimized process for in-depth exhaust steam utilization was proposed to further exploit the energy saving potential of CHP unit. In the novel system, the utilization of the exhaust steam was combined with the heating process for air and condensate water, largely recovering the waste heat and leading to an improvement in the performance of the CHP unit. EBSILON Professional was used to build the model; and compared with the reference system, thermodynamic analysis and techno-economic evaluation were conducted to reveal the characteristics of the novel system. The results showed that, in the design condition, the exhaust steam utilization ratio in the novel system had a significant increment of 22.74% than that in the reference system, leading to a sharp increase of 16.26% in heating capacity and 0.83MW in net electricity output, bringing about 5.06% improvement in net generating efficiency. Meanwhile, the net annual revenues of the novel system can reach 1.80 million USD.

A bio-economic approach to analyze the role of alternative seeding-harvesting schedules, water quality, stocking density and duration of cultivation in semi-intensive production of shrimp in Mexico

We used a bio-economic model to analyze the role that alternative seeding-harvesting schedules, temperature, dissolved oxygen, stocking density, and duration of cultivation play in the economic performance of semi-intensive shrimp cultivation in Mexico. The highest production was predicted for the May-August schedule (1130-2300 kg ha-1), while the lowest yields were obtained for the March-June schedule (949-1300 kg ha-1). The highest net revenues were projected for the August-November schedule (US$354-1444 ha-1), while the lowest was projected for the May-August schedule (US$330-923 ha-1). The highest annual net revenues were predicted for the combination of the March-June and August-November schedules (US$1432-2562 ha-1). Sensitivity analysis indicated temperature and dissolved oxygen were the most important factors determining net revenues in March-June schedule. For the May-August and August-November schedules, stocking density was the most important factor. Duration of cultivation was the least sensitive variable. Break-even production analysis confirmed that the combination of the March-June and August-November schedules were more efficient from an economic perspective. We recommend test some ponds with higher stocking density in the March-June and August-November schedules, and in the latter case, seeding in June or July rather than August.

Performance study and application of new coal-fired boiler flue gas heat recovery system

The recovery of heat from the flue gas is an effective way to improve the thermal efficiency of a boiler. In a coal-fired boiler with wet-desulphurization, a portion of the flue gas thermal energy is used for the latent heat process, which leads to temperature reduction and humidity increase. Although it still contains significant heat, flue gas without sulfur cannot be further utilized; as such, in conventional systems, it is directly exhausted. This paper proposes a new system that utilizes the remaining heat in sulfur-reduced flue gas, where direct-contact heat transfer and absorption technologies are used to even further reduce the exhausted flue gas temperature. Here, not only is the heat recovered, but waste water is also reused as the make-up water in the flue gas desulphurization (FGD) tower. An engineering application analysis provides a detailed account of the system thermodynamic characteristics, economic profitability, and pollutant emission reduction effects. The results show that the boiler efficiency improves by 3.2 percentage point when the exhaust temperature decreases to 39°C. Also, the pressure drop in the heat exchanger remains below 400Pa, which results in low extra electricity consumption. The direct-cooling treatment removes 59% of sulfur dioxide and 8.8% of nitrogen dioxide. The investment is 28.8million RMB and the annual net revenue is 7.4million RMB, with a static payback period of 3.8years; as such, it is commercially viable. In summary, the new system simultaneously saves energy, saves water, and reduces pollutant emissions.

Optimal allocation of water and land resources for maximizing the farm income and minimizing the irrigation-induced environmental problems

The continuous decrease in good quality water and land resources and concurrent increase in global population accentuates the need of optimal allocation of these resources to fulfilling the rising food requirements. This study presents the formulation and application a management model for the optimal allocation of available good quality water and land resources to maximize the farm revenue of a canal command area. A groundwater balance constraint was imposed on the model, which moderates the irrigation-induced environmental problems of waterlogging and salinization, while making the optimal allocation of resources. The model results show a reduction in mustard, rice, and gram crop areas against an increase in sorghum, millets, and wheat areas. The net annual revenue from the command area increased by about 18 % under the optimal allocation plans. The farmers and stakeholders concerned in the actual agricultural production process are suggested to use groundwater and canal water conjunctively to maximizing the farm income. This strategy would also mitigate the hydrological imbalances to the groundwater system without installing costly drainage systems which is not viable as the quality of groundwater is poor and drainage water may cause a serious disposal problem. The developed model can be used as a reliable decision tool for taking the farm and regional level decisions of optimal land and water resources allocation and is able to solve the irrigation-induced environmental problems of agricultural systems.

Effects of New Funding Models for Patient-Centered Medical Homes on Primary Care Practice Finances and Services: Results of a Microsimulation Model.

We assess the financial implications for primary care practices of participating in patient-centered medical home (PCMH) funding initiatives. We estimated practices' changes in net revenue under 3 PCMH funding initiatives: increased fee-for-service (FFS) payments, traditional FFS with additional per-member-per-month (PMPM) payments, or traditional FFS with PMPM and pay-for-performance (P4P) payments. Net revenue estimates were based on a validated microsimulation model utilizing national practice surveys. Simulated practices reflecting the national range of practice size, location, and patient population were examined under several potential changes in clinical services: investments in patient tracking, communications, and quality improvement; increased support staff; altered visit templates to accommodate longer visits, telephone visits or electronic visits; and extended service delivery hours. Under the status quo of traditional FFS payments, clinics operate near their maximum estimated possible net revenue levels, suggesting they respond strongly to existing financial incentives. Practices gained substantial additional net annual revenue per full-time physician under PMPM or PMPM plus P4P payments ($113,300 per year, 95% CI, $28,500 to $198,200) but not under increased FFS payments (-$53,500, 95% CI, -$69,700 to -$37,200), after accounting for costs of meeting PCMH funding requirements. Expanding services beyond minimum required levels decreased net revenue, because traditional FFS revenues decreased. PCMH funding through PMPM payments could substantially improve practice finances but will not offer sufficient financial incentives to expand services beyond minimum requirements for PCMH funding.

The Magnitude of Trade Misinvoicing and Resulting Revenue Loss in Pakistan

This study estimates the magnitude of trade misinvoicing in Pakistan with 21 of its developed trading partners in 52 major traded commodities during 1972–2013. We find that the total volume of trade misinvoicing for this period exceeds US$92.7 billion. The gross revenue loss borne by the national exchequer due to trade misinvoicing is estimated at US$21.2 billion. Moreover, the total net revenue loss is an estimated US$11 billion in the form of evasion of customs duties and export withholding tax. The annual average net revenue loss due to trade misinvoicing is almost equivalent to 11.2 percent of the total revenue generated from customs tariffs. We also find that customs tariffs and the interest rate are positively associated with import under-invoicing, while improvements in the current account balance and political stability reduce the extent of import over-invoicing. Capital account openness is found to be insignificant in determining trade misinvoicing.

Economic feasibility of irrigation systems in broccoli crop

ABSTRACT This study aimed to analyze the economic feasibility of different irrigation systems in broccoli cropping, in Dourados - MS, Brazil. Initially, irrigation was performed using different systems (surface drip, subsurface drip, micro sprinkler, Santeno® and conventional sprinkler). Both yield of commercial inflorescence (CIY) and applied water depth (AWD) were determined during trial. Economic feasibility was analyzed through estimates of acquisition cost (AC), total annual cost (TAC), gross revenue (GR), net revenue (NR), benefit-cost rate (BCR), return rate (RR) and return time (RT). Subsurface drip irrigation was the most feasible in addition to using the second lowest AWD (170.3 mm) compared to the other systems. The values of CIY, AC, RR, BCR and TAC obtained by this system were 25.3 t ha-1, R $ 8,884.8 ha-1, R $ 65,446.9 ha-1 yr-1, 7.3 and 6.32%, respectively.