How would you calculate the value of a cow?

PrepLounge: Personal Fit
Neue Antwort am 20. März 2023
22 Antworten
5,3 Tsd. Aufrufe

How would you answer this question in your Personal Fit interview? Receive feedback on your answer and browse through the Q&As to review the approaches of other applicants and experts.

Übersicht der Antworten

• Datum aufsteigend
• Datum absteigend
Beste Antwort

You should assess the value generated, the selling value and the costs:

1. Value generated during cow possession:

• milk
• sons
• compost

2. The selling value will depend on:

• remaining value generable
• meat value
• other parts value (e.g. horns, skin)

3. Main costs:

• fixed costs amortization (e.g. farmer wage, structures, insurance, cow equipment)
• medical expenses
• feed and water

Best,

Antonello

War diese Antwort hilfreich?

First I would research market rates on different cows and see where this cow fits. I would assess the breed, age, gender, and it's living conditions to come up with a calculation on value.

War diese Antwort hilfreich?

Liters of milk per year plus births over lifetime plus salvage value

War diese Antwort hilfreich?

The variable of the milk it produces times the lifespan and the “scrape value” for selling it at the end if it's lifetime.

War diese Antwort hilfreich?

In answering this question I would focus on portraying creativity and innovation, instead of focussing on the detailed value analysis.

My dad happens to be a farmer, so my answer would be to give him a call, which will probably not be an answer the interviewer is expecting

War diese Antwort hilfreich?

and probably not an answer the op was expecting.

based on the KG and its meat

War diese Antwort hilfreich?

Determine how much the cow consumes (food, water, housing,…) compared to its weight

War diese Antwort hilfreich?

I would access a market value of the cow and based on these characteristics i will assume the value of my cow

War diese Antwort hilfreich?

There are three ways to price the cow

1)benchmarking: see how much cows of competitors cost

2)cost based pricing. Calculate how much the products of the cow cost to calculate revenues and subtract the costs of farming the cow (labor, food, facilities), finally add a profit margin

3)price based: how much is the farmer willing to pay for the cow.

War diese Antwort hilfreich?

Schätzung durch Vergleichswerte bspw. Wertermittlung eines Bullen

War diese Antwort hilfreich?

Like a stream of cash flow. The terminal value in this case would be the amount the butcher would pay at the end of the lifetime.

War diese Antwort hilfreich?

2 main factors considering we can obtain meat or other resources from the cow
- NPV: How much is the cow worth today (based in weight, for example)
- Future value: How can I profit from the cow in the long term (by producing milk or growing)

Additional considerations could include cultural factors: if the cow is considerated sacred in our culture, it's invaluable.

War diese Antwort hilfreich?

I would try to estimate the value a cow produces each month and then estimate the life time of a cow

War diese Antwort hilfreich?

Value of milk which can be extracted from her lifetime + Value of meat which can be sold in the market.

War diese Antwort hilfreich?

1. Analyse the market & competition

2. Cost of “production”

3. Premiumness of the product (e.g. organic vs convetional, origin)

4. Demand

War diese Antwort hilfreich?

Each year equals

War diese Antwort hilfreich?

Value generated from the milk+meat, selling price and costs

War diese Antwort hilfreich?

Anhand der Liter der Milch, welche die Kuh durchschnittlich gibt. Anschließend die Liter der Milch mit dem aktuellen Marktpreis multiplizieren. Zusätzlich würde ich noch den Wert des Fleisches als Schätzwert in meine Überlegungen miteinbeziehen.

War diese Antwort hilfreich?

Liter gegebene Milch x Lebenszeit

_____________________________________

Preis Milch

War diese Antwort hilfreich?

Conduct market research to find out how cows are valued.

War diese Antwort hilfreich?

Estimate the value of cow in the market

War diese Antwort hilfreich?

the weight, the milk it produces it per day and the market price

War diese Antwort hilfreich?
Antonello gab die beste Antwort
Content Creator
McKinsey | top 10 FT MBA professor for consulting interviews | 6+ years of coaching
254
Meetings
9.775