Farm & Ranch Exam 1 questions well
answered graded A+
One force that has helped cause U.S. farms to become larger and fewer is? - correct answer
✔✔Lower productions costs per unit by spreading investment in technology over more units
Standardization of farm financial ratios and accounting practices will help farm managers? -
correct answer ✔✔Compete with non farm businesses for capital
Globalization refers to the process of? - correct answer ✔✔Reducing trade barriers among
countries
Which function of management is concerned with monitoring the results of a decision and
taking corrective action? - correct answer ✔✔Control
A short summary of why a particular business is in operation is called? - correct answer
✔✔Mission statement
Doubling the number of acres farmed in 10 years is an example of a - correct answer ✔✔long-
run goal
Which of the following is an example of a tactical decision? - correct answer ✔✔Balancing
livestock ration
One characteristic that makes decision making in agriculture different from other types of
business is - correct answer ✔✔Fixed supply of a major resource
, The depreciation method with the greatest depreciation in the first year is? - correct answer
✔✔Double Declining Depreciation
The proper term for the value found by subtracting accumulated depreciation from the assets
original cost is? - correct answer ✔✔Book value
To be depreciable, an asset must have a useful life of? - correct answer ✔✔More than a year
Which of the following is an example of a current asset? - correct answer ✔✔Hay on hand
Another term which has the same meaning as owners equity is? - correct answer ✔✔Net worth
Which of the following best describes a balance sheet? - correct answer ✔✔It shows the assets
and liabilities at a point in time
The degree to which a farms assets adequately cover or exceed it's liabilities is referred to as? -
correct answer ✔✔Solvency
Which of the following is NOT a depreciable asset? - correct answer ✔✔Land
Which of the following is NOT used in analyzing a farm operation? - correct answer ✔✔Income
tax retuen
Another name for a balance sheet is? - correct answer ✔✔Net worth statement
The purpose of a farm income statement is - correct answer ✔✔To show revenue, expenses,
and net farm income for an accounting period
answered graded A+
One force that has helped cause U.S. farms to become larger and fewer is? - correct answer
✔✔Lower productions costs per unit by spreading investment in technology over more units
Standardization of farm financial ratios and accounting practices will help farm managers? -
correct answer ✔✔Compete with non farm businesses for capital
Globalization refers to the process of? - correct answer ✔✔Reducing trade barriers among
countries
Which function of management is concerned with monitoring the results of a decision and
taking corrective action? - correct answer ✔✔Control
A short summary of why a particular business is in operation is called? - correct answer
✔✔Mission statement
Doubling the number of acres farmed in 10 years is an example of a - correct answer ✔✔long-
run goal
Which of the following is an example of a tactical decision? - correct answer ✔✔Balancing
livestock ration
One characteristic that makes decision making in agriculture different from other types of
business is - correct answer ✔✔Fixed supply of a major resource
, The depreciation method with the greatest depreciation in the first year is? - correct answer
✔✔Double Declining Depreciation
The proper term for the value found by subtracting accumulated depreciation from the assets
original cost is? - correct answer ✔✔Book value
To be depreciable, an asset must have a useful life of? - correct answer ✔✔More than a year
Which of the following is an example of a current asset? - correct answer ✔✔Hay on hand
Another term which has the same meaning as owners equity is? - correct answer ✔✔Net worth
Which of the following best describes a balance sheet? - correct answer ✔✔It shows the assets
and liabilities at a point in time
The degree to which a farms assets adequately cover or exceed it's liabilities is referred to as? -
correct answer ✔✔Solvency
Which of the following is NOT a depreciable asset? - correct answer ✔✔Land
Which of the following is NOT used in analyzing a farm operation? - correct answer ✔✔Income
tax retuen
Another name for a balance sheet is? - correct answer ✔✔Net worth statement
The purpose of a farm income statement is - correct answer ✔✔To show revenue, expenses,
and net farm income for an accounting period
