Questionplace your answers in the table provided at the end

Assignment Help Microeconomics

Reference no: EM13375689

Question

Place your answers in the table provided at the end of the question

A farmer expects to have three activities on her property over the coming year with the following total gross margins (TGMs):

Yearling - expected TGM $55,500

Merino ewes- expected TGM $ 23,000

Barley - expected TGM $ 17,000

She also expects to obtain $4,200 for helping a neighbour with shed hand duties during shearing and $2,000 for part-time work at a restaurant on Fridays and Saturdays.

Expenses for the year are expected to be as follows:

Administration $2,500

Permanent labour $20,000

Fuel and oil $3,000

Repairs and maintenance on machinery and structure $2,200

Rates $1,000

Interest $12,000

The value of her labour $35,000

Opening and closing values for assets and liabilities are:

Assets opening closing

Land and improvement $400,000 $450,000

Livestock $80,000 $80,000

Plant and machinery $40,000 $36,000

Other assets $4,000 $4,000

Liabilities

Long term loan $200,000 $180,000

Other liabilities $25,000 $0

Using the information above, calculate the following measures of farm performance and state what they mean (i.e. meaning: return to management for their own and the bank's capital investment):

Measure	Value ($) or (%)	Meaning
Net farm income
Operating return
Business return
Equity ratio
Return total assets
Return on equity

Reference no: EM13375689

Questions Cloud

1 for figure demand with zero transactions costs is q1d 50 : 1. for figure demand with zero transactions costs is q1d 50 - p and supply is qs -7 2p.a. verify all of the prices

Question cash flow budgetingusing the following information : question cash flow budgetingusing the following information complete the cash flow budget for the months of january

Question linear programmingcomplete the linear programming : question linear programmingcomplete the linear programming matrix at the end of the question with the appropriate

Question 1place your answers in the table provided at the : question 1.place your answers in the table provided at the end of the question1. use the following table to produce a

Questionplace your answers in the table provided at the end : questionplace your answers in the table provided at the end of the questiona farmer expects to have three activities on

Question 1complete the table below for a feed price of 380 : question 1.complete the table below for a feed price of 380 per tonne and a weaner price of 1.10 per kilogram. indicate

Produce a gross margin budget using the following : produce a gross margin budget using the following information. the farm has 105 cows in a steady state herd however a

Question a farmer has 200-cow self-replacing herd the : question. a farmer has 200-cow self-replacing herd. the normal calving percentage is 80 per cent. the mortality rate is

Assume that the industry you wrote about in assignment 1 : assume that the industry you wrote about in assignment 1 wants to expand and that its only option is a merger. now the

User Account

All Pages