This is the end result of most coyote/rancher encounters. Coyotes eat a lot of sheep when possible. The U.S. Govt. has folks whose job it is to trap, shoot, poison, and otherwise exterminate these "pests" but the 'yotes are pretty darn smart. I had way more trouble with dogs killing my sheep "for sport". A lot of ranchers will tell you they don't want to kill all the 'yotes, just the ones who prefer lambchops to jackrabbits.
The guard dogs help keep the 'yotes away, and 'yotes and dogs do tangle. But the coyotes are so smart that they've changed their tactics since the introduction of guard dogs. A few coyotes will lure the dogs away from the sheep while others will move in for the kill, and the coyotes have started hunting more in the daytime when the guard dogs are tired from watching the sheep all night.
