Table 2. An accrual income statement for the Whitmer farm Income Statement        Name  WHITMER FARM          Peroid covered  1-1-02      to  1-1-03  
Cash Farm Income Cash Operating Expenses
Crop sales   Seed 7,100
        CORN 73,010 Fertilizer, lime, chemicals 25,800
        SOYBEANS 25,200 Livestock purchased for resale 3,750
    Vet, medicine, breeding fees 250
    Livestock marketing 500
    Fuel, oil, lubricants 4,025
    Utilities 1,740
Livestockand livestock product sales 23,414 Repairs 2,740
    Taxes, insurance 3,625
    Hired labor 1,080
    Rent, leases 13,500
    Machine hire 10,500
    Supplies 1,615
    Interest 11,780
Government payments 12,786 Other  
       
       
       
Other farm income      
       
       
       
Total cash farm income 134,410 Total cash operating expenses 97,170
    Net cash farm income 37,240
Inventory Changes
  Crops & feed Market
livestock
Receivables &
other income
items
Supplies &
prepaid
expenses
Payables &
accrued
expenses
 
Ending inventory 14,500 14,000 6,700 2,200 Beg. 7,500
Beginning inventory 15,200 7,800 5,900 1,900 End. 7,750
Inventory change (700) 6,200 800 300 (250) 6,350
Net operating profit 43,590
Depreciation and Other Capital Adjustments
  Breeding
livestock
Machinery &
equipment
Buildings &
improvements
Other Land  
Ending inventory   64,800 62,400   190,000
Capital sales   2,300 0   0
Ending inventory & sales   67,100 62,400   190,000
Beginning inventory   73,000 63,900   190,000
Capital purchases   0 0   0
Beg. invent. & purchases   73,000 63,900   190,000
Deprec. & cap. adjustm.   (5,900) (1,500)     (7,400)
Profit or Loss 36,190
Department of Agricultural & Resource Economics, University of Maryland at College Park