The farmer has a number offarm management economic questions the would like answered regarding howtheir business might perform in the coming production year, from calving time in 2013.
Buses leave at 8.15 a.m. from front of MSLE Ag. Building and return around 4.30 p.m. (We will
decide in class whether you want to bring your own lunch or have a BBQ).
Students are to collect the information that is required
in orderto carry out a farm business analysis. Students will estimate the performance ofthe business using:
Balance sheet at start Profit and Growth budget (Livestock trading schedule to estimate livestock trading profit), estimate return on total capital and return on equity.
Net Cash fiow before and after debt servicing
Balance sheet at end (Check that the growth estimated in profit budget is same as the
growth given by equity at end minus equity at start)
Risk analysis (sensitivity testing, scenario analysis, breakeven analysis)
The report is to be a brief consulting report, around 2-3 pages, with the main findings about the likely performance ofthe business summarized in Tables, Figures and written advice answering his question ‘How might my business perform in the coming year?’