Farm Management Exam Questions with Correct Answers| Latest Update
Guaranteed Success
Standardization of farm financial ratios and accounting practices will help farm managers:
Compete with nonfarm businesses for capital
One force that has helped cause U.S. farms to become larger and fewer is: Lower production
costs per unit by spreading fixed investment in technology over more
units
Improved data collection technology such as satellite photography will be most helpful to farm
managers for: Prescribing fertility and pest control practices for smaller land units
Agricultural processors will probably want more uniform products in the future in order to:
Make more efficient use of processing and packaging equipment
By forming strategic alliances, small and medium-sized farmers and ranchers can: Achieve
marketing advantages that larger operations enjoy
An increase in the number of nonfarmers living in rural areas will cause: Farmers to pay
more attention to off-farm effects of their production practices
Globalization refers to the process of: Reducing trade barriers among countries
True or False: 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. False
True or False: Standardized accounting practices for farming operations will make comparisons
with other farms and nonfarm businesses more meaningful. True
, True or False: One of the most important areas in which advances in electronics can help farm
managers is in collecting the raw data needed to make better decisions. True
True or False: Since farm managers will be making the same basic types of decisions in the 21st
century as they did in the previous century, they can rely on rules of thumb to guide their
actions. False
True or False: Product differentiation means producing crops and livestock with different
characteristics for specific markets. True
True or False: Entering into vertical integration alliances helps farms or ranches become more
independent False
Which function of management is concerned with monitoring the results of a decision and
taking corrective action? Control
Which of the following shows the proper sequence of management functions as they would be
applied to a specific problem? Planning, implementation, control
A short summary of why a particular business is in operation is called: A mission statement
"Doubling the number of acres farmed in 10 years" is an example of a Long-run goal
Which of the following is an example of a strategic decision? Determining what type of
business/legal organization to use
Which of the following is an example of a tactical decision? Balancing a livestock ration
Which of the following best describes, "What managers do"? Make decisions
Guaranteed Success
Standardization of farm financial ratios and accounting practices will help farm managers:
Compete with nonfarm businesses for capital
One force that has helped cause U.S. farms to become larger and fewer is: Lower production
costs per unit by spreading fixed investment in technology over more
units
Improved data collection technology such as satellite photography will be most helpful to farm
managers for: Prescribing fertility and pest control practices for smaller land units
Agricultural processors will probably want more uniform products in the future in order to:
Make more efficient use of processing and packaging equipment
By forming strategic alliances, small and medium-sized farmers and ranchers can: Achieve
marketing advantages that larger operations enjoy
An increase in the number of nonfarmers living in rural areas will cause: Farmers to pay
more attention to off-farm effects of their production practices
Globalization refers to the process of: Reducing trade barriers among countries
True or False: 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. False
True or False: Standardized accounting practices for farming operations will make comparisons
with other farms and nonfarm businesses more meaningful. True
, True or False: One of the most important areas in which advances in electronics can help farm
managers is in collecting the raw data needed to make better decisions. True
True or False: Since farm managers will be making the same basic types of decisions in the 21st
century as they did in the previous century, they can rely on rules of thumb to guide their
actions. False
True or False: Product differentiation means producing crops and livestock with different
characteristics for specific markets. True
True or False: Entering into vertical integration alliances helps farms or ranches become more
independent False
Which function of management is concerned with monitoring the results of a decision and
taking corrective action? Control
Which of the following shows the proper sequence of management functions as they would be
applied to a specific problem? Planning, implementation, control
A short summary of why a particular business is in operation is called: A mission statement
"Doubling the number of acres farmed in 10 years" is an example of a Long-run goal
Which of the following is an example of a strategic decision? Determining what type of
business/legal organization to use
Which of the following is an example of a tactical decision? Balancing a livestock ration
Which of the following best describes, "What managers do"? Make decisions
