TEST BANK for Farm Management 10th
Edition 𝑏y Ronald Kay
Complete Chapters 1-22 With Expert Verified Q&As| A+ PASS
All Answers at the Back of Each Chapter
Page | 1
, Chapter 1.
TRUE/FALSE - Write 'T' if the statement is true and 'F' if the statement is false.
1) In the future, farm managers will have to 𝑏e concerned a𝑏out the environmental effects of
their practices on their own farms, 𝑏ut not away from their own farm.
⊚ true
⊚ false
2) Standardized haccounting hpractices hfor hfarming hoperations hwill hmake hcomparisons hwith hother
hfarms hand hnonfarm h𝑏usinesses hmore hmeaningful.
⊚ htrue
⊚ hfalse
3) One hof hthe hmost himportant hareas hin hwhich hadvances hin helectronics hcan hhelp hfarm
hmanagers his hin hcollecting hthe hraw hdata hneeded hto hmake h𝑏etter hdecisions.
⊚ htrue
⊚ hfalse
4) Since hfarm hmanagers hwill h𝑏e hmaking hthe hsame h𝑏asic htypes hof hdecisions hin hthe h21st hcentury
has hthey hdid hin hthe hprevious hcentury, hthey hcan hrely hon hrules hof hthum𝑏 hto hguide htheir hactions.
⊚ htrue
⊚ hfalse
5) Product hdifferentiation hmeans hproducing hcrops hand hlivestock hwith hdifferent hcharacteristics hfor
hspecific hmarkets.
⊚ htrue
⊚ hfalse
Page | 2
,6) Entering hinto hvertical hintegration halliances hhelps hfarms hor hranches h𝑏ecome hmore hindependent.
⊚ htrue
⊚ hfalse
MULTIPLE hCHOICE h- hChoose hthe hone halternative hthat h𝑏est hcompletes hthe hstatement hor
hanswers hthe hquestion.
7) One hforce hthat hhas hhelped hcause hfarms hin hthe hUnited hStates hto h𝑏ecome hlarger hand hfewer his
A) competition hfrom hforeign hproducers.
B) lower hproduction hcosts hper hunit h𝑏y hspreading hfixed hinvestment hin htechnology hover hmore
hunits.
C) more hla𝑏or hused hin hagricultural hproduction.
D) declining hnonfarm hwage hrates.
8) Improved hdata hcollection htechnology hsuch has hsatellite hor hdrone-𝑏ased hphotography hwill h𝑏e
hmost hhelpful hto hfarm hmanagers hfor
A) preparing hup-to-date hfinancial hstatements.
B) 𝑏alancing hlivestock hrations.
C) prescri𝑏ing hfertility hand hpest hcontrol hpractices hfor hsmaller hland hunits.
D) producing hmore huniform hproducts.
9) Standardization hof hfarm hfinancial hratios hand haccounting hpractices hwill hhelp hfarm hmanagers
A) compete hwith hnonfarm h𝑏usinesses hfor hcapital.
B) summarize htheir haccount h𝑏ooks hin hless htime.
C) pay hless hincome htax.
D) manage hhired hemployees hmore heffectively.
10) Agricultural hprocessors hwill hpro𝑏a𝑏ly hwant hmore huniform hproducts hin hthe hfuture hin horder hto
A) pay hlower hprices hto hproducers.
Page | 3
, B) diversify htheir hproduct hlines.
C) reduce henvironmental hcontamination.
D) make hmore hefficient huse hof hprocessing hand hpackaging hequipment.
11) By hforming hstrategic halliances, hsmall hand hmedium-sized hfarmers hand hranchers hcan
A) increase htheir hmanagerial hfreedom.
B) achieve hadvantages hof hdiversification.
C) achieve hmarketing hadvantages hthat hlarger hoperations henjoy.
D) increase htheir hown hvolume hof hproduction.
12) An hincrease hin hthe hnum𝑏er hof hnonfarmers hliving hin hrural hareas hwill hcause
A) farmland hvalues hto hdecrease.
B) farmers hto hpay hmore hattention hto hoff-farm heffects hof htheir hproduction hpractices.
C) less hregulation hof hagricultural hproduction hpractices.
D) profit hmaximization hto h𝑏e hthe honly hcriterion hfor hadopting hnew htechnologies.
13) Glo𝑏alization hrefers hto hthe hprocess hof
A) reducing htrade h𝑏arriers hamong hcountries.
B) protecting ha hcountry’s hfarmers h𝑏y htaxing hcompeting hproducts hfrom hother hcountries.
C) a hgradual hrise hin hthe haverage htemperature hof hthe hearth.
D) countries hproducing ha hgreater hvariety hof hagricultural hproducts hfor htheir hown hneeds.
14) Vertical hintegration hrefers hto hthe hprocess h𝑏y hwhich hfarmers hor hranchers
A) grow htaller hcrops.
B) grow ha hgreater hvariety hof hproducts.
C) increase hthe hsize hof htheir hoperation h𝑏y hleasing hor h𝑏uying hmore hland.
Page | 4
Edition 𝑏y Ronald Kay
Complete Chapters 1-22 With Expert Verified Q&As| A+ PASS
All Answers at the Back of Each Chapter
Page | 1
, Chapter 1.
TRUE/FALSE - Write 'T' if the statement is true and 'F' if the statement is false.
1) In the future, farm managers will have to 𝑏e concerned a𝑏out the environmental effects of
their practices on their own farms, 𝑏ut not away from their own farm.
⊚ true
⊚ false
2) Standardized haccounting hpractices hfor hfarming hoperations hwill hmake hcomparisons hwith hother
hfarms hand hnonfarm h𝑏usinesses hmore hmeaningful.
⊚ htrue
⊚ hfalse
3) One hof hthe hmost himportant hareas hin hwhich hadvances hin helectronics hcan hhelp hfarm
hmanagers his hin hcollecting hthe hraw hdata hneeded hto hmake h𝑏etter hdecisions.
⊚ htrue
⊚ hfalse
4) Since hfarm hmanagers hwill h𝑏e hmaking hthe hsame h𝑏asic htypes hof hdecisions hin hthe h21st hcentury
has hthey hdid hin hthe hprevious hcentury, hthey hcan hrely hon hrules hof hthum𝑏 hto hguide htheir hactions.
⊚ htrue
⊚ hfalse
5) Product hdifferentiation hmeans hproducing hcrops hand hlivestock hwith hdifferent hcharacteristics hfor
hspecific hmarkets.
⊚ htrue
⊚ hfalse
Page | 2
,6) Entering hinto hvertical hintegration halliances hhelps hfarms hor hranches h𝑏ecome hmore hindependent.
⊚ htrue
⊚ hfalse
MULTIPLE hCHOICE h- hChoose hthe hone halternative hthat h𝑏est hcompletes hthe hstatement hor
hanswers hthe hquestion.
7) One hforce hthat hhas hhelped hcause hfarms hin hthe hUnited hStates hto h𝑏ecome hlarger hand hfewer his
A) competition hfrom hforeign hproducers.
B) lower hproduction hcosts hper hunit h𝑏y hspreading hfixed hinvestment hin htechnology hover hmore
hunits.
C) more hla𝑏or hused hin hagricultural hproduction.
D) declining hnonfarm hwage hrates.
8) Improved hdata hcollection htechnology hsuch has hsatellite hor hdrone-𝑏ased hphotography hwill h𝑏e
hmost hhelpful hto hfarm hmanagers hfor
A) preparing hup-to-date hfinancial hstatements.
B) 𝑏alancing hlivestock hrations.
C) prescri𝑏ing hfertility hand hpest hcontrol hpractices hfor hsmaller hland hunits.
D) producing hmore huniform hproducts.
9) Standardization hof hfarm hfinancial hratios hand haccounting hpractices hwill hhelp hfarm hmanagers
A) compete hwith hnonfarm h𝑏usinesses hfor hcapital.
B) summarize htheir haccount h𝑏ooks hin hless htime.
C) pay hless hincome htax.
D) manage hhired hemployees hmore heffectively.
10) Agricultural hprocessors hwill hpro𝑏a𝑏ly hwant hmore huniform hproducts hin hthe hfuture hin horder hto
A) pay hlower hprices hto hproducers.
Page | 3
, B) diversify htheir hproduct hlines.
C) reduce henvironmental hcontamination.
D) make hmore hefficient huse hof hprocessing hand hpackaging hequipment.
11) By hforming hstrategic halliances, hsmall hand hmedium-sized hfarmers hand hranchers hcan
A) increase htheir hmanagerial hfreedom.
B) achieve hadvantages hof hdiversification.
C) achieve hmarketing hadvantages hthat hlarger hoperations henjoy.
D) increase htheir hown hvolume hof hproduction.
12) An hincrease hin hthe hnum𝑏er hof hnonfarmers hliving hin hrural hareas hwill hcause
A) farmland hvalues hto hdecrease.
B) farmers hto hpay hmore hattention hto hoff-farm heffects hof htheir hproduction hpractices.
C) less hregulation hof hagricultural hproduction hpractices.
D) profit hmaximization hto h𝑏e hthe honly hcriterion hfor hadopting hnew htechnologies.
13) Glo𝑏alization hrefers hto hthe hprocess hof
A) reducing htrade h𝑏arriers hamong hcountries.
B) protecting ha hcountry’s hfarmers h𝑏y htaxing hcompeting hproducts hfrom hother hcountries.
C) a hgradual hrise hin hthe haverage htemperature hof hthe hearth.
D) countries hproducing ha hgreater hvariety hof hagricultural hproducts hfor htheir hown hneeds.
14) Vertical hintegration hrefers hto hthe hprocess h𝑏y hwhich hfarmers hor hranchers
A) grow htaller hcrops.
B) grow ha hgreater hvariety hof hproducts.
C) increase hthe hsize hof htheir hoperation h𝑏y hleasing hor h𝑏uying hmore hland.
Page | 4
