3) If $50,000 cash on hand is used to pay a $50,000 operating loan then on the day of the transaction: a. net worth will not change but the current ratio will change b. neither net worth nor the current ratio will change C. net worth will increase but the current ratio will not change d. net worth will increase and the current ratio will change 4) Financial progress for a farm business operation from one year to the next year is best measured by the a. change in the farm's Total Assets during the past year b. change in the farm's Net Worth during the past year c. change in the farm's Total Liabilities (debt) during the past year d. change in the farm's taxable farm income during the past year e. change in the farm's cash available (cash reserve) during the past year 5) A business which is highly leveraged is one which has a. a large debt relative to net worth b. many current liabilities C. a large net farm income d. a high equity to asset ratio 6) Lenders may require a cash flow analysis to a. determine the profitability of the farm operation b. collect data to complete the net worth statement c. determine the machinery investment per acre Q Search NO

3) If $50,000 cash on hand is used to pay a $50,000 operating loan then on the day of the transaction: a. net worth will not change but the current ratio will change b. neither net worth nor the current ratio will change c. net worth will increase but the current ratio will not change d. net worth will increase and the current ratio will change 4) Financial progress for a farm business operation from one year to the next year is best measured by the a. change in the farm's Total Assets during the past year b. change in the farm's Net Worth during the past year c. change in the farm's Total Liabilities (debt) during the past year d. change in the farm's taxable farm income during the past year e. change in the farm's cash available (cash reserve) during the past year 5) A business which is highly leveraged is one which has a. a large debt relative to net worth b. many current liabilities c. a large net farm income d. a high equity to asset ratio 6) Lenders may require a cash flow analysis to a. determine the profitability of the farm operation b. collect data to complete the net worth statement c. determine the machinery investment per acre 3) If $50,000 cash on hand is used to pay a $50,000 operating loan then on the day of the transaction: a. net worth will not change but the current ratio will change b. neither net worth nor the current ratio will change c. net worth will increase but the current ratio will not change d. net worth will increase and the current ratio will change 4) Financial progress for a farm business operation from one year to the next year is best measured by the a. change in the farm's Total Assets during the past year b. change in the farm's Net Worth during the past year c. change in the farm's Total Liabilities (debt) during the past year d. change in the farm's taxable farm income during the past year e. change in the farm's cash available (cash reserve) during the past year 5) A business which is highly leveraged is one which has a. a large debt relative to net worth b. many current liabilities c. a large net farm income d. a high equity to asset ratio 6) Lenders may require a cash flow analysis to a. determine the profitability of the farm operation b. collect data to complete the net worth statement c. determine the machinery investment per acre