Agriscience Unit 35 Exam Rated A+

Agriscience Unit 35 Exam Rated A+ comparative advantage - Answer- the ability to produce a commodity with greater returns than those of competitor because of a favorable condition such as climate resource substitution - Answer- the use of a resource or item for another when the results are the same long term loan - Answer- loans with payment periods from 8 to 40 years intermediate term loan - Answer- loan with payment periods that range from 1 to 7 years capital investment - Answer- Money spent on commodities that are kept 6 months or longer short term loan - Answer- loan with a payment period of 1 year or less federal land bank - Answer- lending institution that provides long term credit for agriculture agribusiness management - Answer- the human element that carries out a plan to meet goals and objectives in an agriscience business capital - Answer- money or property price - Answer- amount received for an item that is sold credit - Answer- money borrowed diminishing returns - Answer- point at which each additional unit of input decreases the output or returns Production Credit Associations - Answer- lending institution that provides short term credit for agriculture Commodity Credit Corporation - Answer- institution that lends money for production of farm commodities Farmers Home Administration - Answer- government agency that assists farmers to become landowners Small Business Administration - Answer- institution that provides loans to agribusiness simple interest loan - Answer- the full amount of a loan is received by the borrower and paid back with interest after a short period promissory note - Answer- note signed by borrower agreeing to the terms of the loan