The present study was carried out in Raichur and Gulbarga districts, selected based on the highest net area under cultivation of major crops using primary data collected entirely based on a multistage random sampling technique from 180 farmers under cultivation of major crops in both rainfed and irrigated area. The study pertained to the agricultural year 2012-13. The extent of input use, labour use and corresponding cost of cultivation per hectare was considerably higher in aware paddy, cotton and redgram farmers (` 77119.90, 64965.73, 39752.98) as compared to the unaware farmers (` 70155.55, 53547.10, 36915.48) but the difference was statistically not significant. The knowledge of aware farmers on MSP was reflected in obtaining considerably higher returns compared to unaware farmers (` 1550 per quintal, ` 4200 per quintal and ` 4052 per quintal in case of paddy, cotton and redgram respectively). But the overall impact on returns was not significant in paddy and cotton growers. Hence, there is need to increase the knowledge of MSP among farmers for further consideration in decision making of agriculture.