Farmers must earn revenues that both cover costs and provide adequate returns. The goal of this research was to understand how diversified farmers measure their cost of production and determine prices. We conducted in-depth interviews of diversified Vermont farmers and used the constant comparative method to analyze the data. Farmers and their operations, the process of measuring the cost of production and pricing, farmers’ decision-making process, and tradeoffs in the face of uncertainty are described and analyzed. This study’s findings contribute to current discussions of farmer decision making by developing practical implications for important, but difficult tasks.