AGBU 2389 Test 1 Question and answers
100% correct
Management of a farm or ranch can be divided into two broad categories, they
are: - correct answer ✔Strategic and Tactical Management
Which of the following is NOT a characteristic of Agribusiness Decisions? -
correct answer ✔Competition
Which of the following is included in the purpose and Use of Farm Record: -
correct answer ✔Prepare income tax returns, analysis in new investments,
obtain loans, measure profits
Farmable land is depreciated over which period? - correct answer ✔None.
Land does not depreciate
All of the following are decisions to be made in setting up an Agribusiness
accounting system EXCEPT - correct answer ✔Whether to use revenue or
income method
Lack of access to additional land and capital effectively limits producers from
expanding their business so... - correct answer ✔The key is to produce
higher valued commodities
Average production per farm has changed considerably due to which of the
following factors? - correct answer ✔Labor saving technology, Employment
opportunities outside agriculture are more appealing, Operators want to earn
a higher level of income and enjoy a higher standard of living, New technology
is available only on a minimum scale
, Cost less Accumulated Depreciation is used only for - correct answer
✔Depreciable assets
Items that are produced on the farm are valued at - correct answer ✔Farm
production cost
This Valuation requires valuating an asset both ways - correct answer
✔Lower of cost or market
Items that have been purchased and have receipts an be valued at - correct
answer ✔Cost
Valuating an asset at current market price is also known as - correct answer
✔Market value
The accounting period is always a one-year period of time - correct answer
✔True
Depending on the asset, using the lower of cost or market method, you add
both of the values together to determine the valuation. - correct answer
✔False
Once an asset is fully depreciated, tax law requires that it be retired from
service - correct answer ✔False
Due to technology advances, biological processes in agriculture is an issue
that is no longer considered something that does not change much over time.
- correct answer ✔False
100% correct
Management of a farm or ranch can be divided into two broad categories, they
are: - correct answer ✔Strategic and Tactical Management
Which of the following is NOT a characteristic of Agribusiness Decisions? -
correct answer ✔Competition
Which of the following is included in the purpose and Use of Farm Record: -
correct answer ✔Prepare income tax returns, analysis in new investments,
obtain loans, measure profits
Farmable land is depreciated over which period? - correct answer ✔None.
Land does not depreciate
All of the following are decisions to be made in setting up an Agribusiness
accounting system EXCEPT - correct answer ✔Whether to use revenue or
income method
Lack of access to additional land and capital effectively limits producers from
expanding their business so... - correct answer ✔The key is to produce
higher valued commodities
Average production per farm has changed considerably due to which of the
following factors? - correct answer ✔Labor saving technology, Employment
opportunities outside agriculture are more appealing, Operators want to earn
a higher level of income and enjoy a higher standard of living, New technology
is available only on a minimum scale
, Cost less Accumulated Depreciation is used only for - correct answer
✔Depreciable assets
Items that are produced on the farm are valued at - correct answer ✔Farm
production cost
This Valuation requires valuating an asset both ways - correct answer
✔Lower of cost or market
Items that have been purchased and have receipts an be valued at - correct
answer ✔Cost
Valuating an asset at current market price is also known as - correct answer
✔Market value
The accounting period is always a one-year period of time - correct answer
✔True
Depending on the asset, using the lower of cost or market method, you add
both of the values together to determine the valuation. - correct answer
✔False
Once an asset is fully depreciated, tax law requires that it be retired from
service - correct answer ✔False
Due to technology advances, biological processes in agriculture is an issue
that is no longer considered something that does not change much over time.
- correct answer ✔False
