Next, you start developing an ending year balance sheet for 2017 (or beginning year balance for 2018). As of December 31, 2017, below outlines your assets and liabilities.
1) The balance in check book of $25,000
2) You have 100 one-ton bales of hay that were cut in 2016in the hay barn that you will sell to nearby producers.The market price for hay is $65/ton.
3) Commercial feed included hay you produced, creep feed,and mineral blocks for calves which was $12,000.
4) Prepaid expenses summed to $1,250.
5) Supplies on hand were $7,500 and you had no accounts receivable.
6) You have 52 calves that are 650 lb/head on average and are valued at $1.20/lb on average. You also have three 1,400 lb cows valued at $0.9/lb that you plan on selling along with the calves in the first of 2017.
7) You purchased the 150 acres in 2011 for $1,500/acre but could be sold today for $1,800/acre. You pasture acres was purchased for $1,000/acre but could be sold for $1,200/acre today.
8) You have 60 breeding cows that weight about 1,300 lb/head and are valued at $0.9/lb on average. Your market and cost values are the same for breeding livestock.
9) The machinery, equipment, and vehicles were purchased in 2011. The current book value (cost minus depreciation) is $150,000 but could be sold for around $157,000.
10) A hay barn sits on the property that was built for $45,000 in 2007. The book value of the barn is $18,333which is the same as the market value.
11) Your accounts payable was $500 by the end of 2017.
12) You accrued interest, remaining principal (1 year), principal due in 12 months is calculated from you outstanding loans.
Name AREC FARMS Farm Assets Value Value 500 Current Assets Cash and Checking account Crops held for Sale/Feed Investment in growing crop Commencal Feed on Hand Prepaid Expense Market livestock Supplies on Hand Accounts Recievable Other Current Assets Farm Liabilities Current Liabilities Accounts Payable Income Tax Payable Short Term Notes Payable Accrued Interest (short and long) Principal Due in 12 months (CPLTD) Other Current Liabilities $16.039.00 $77.954.24 Total Current Liabilities 94.493.238 Total Current Assets Noncurrent liabilities Remaining Principal Balance 1 year) Other noncurrent Liabilities $288.352.AN) Cost Market Total Noncurrent liabilities 288,352 Noncurrent Assets Unpaid Coop, distributions Breeding Livestock Machinery and Equipment Building & Improvements Farmland Farm Securities Other noncurrent assets 70,200 $150,000 $18,333 375,000 70.200 157.000 $45,000 64X7,000 Cost Based Total Liabilities Market Based Total Liabilities Deferred Liabilities 382.845.2381 447.511.988 64,666.75 Total Noncurrent assets 613,533 872,200 Market Valuation Equity Market Value Net Worth Cost Value Net Worth 194,000.25 424,688.012 230,687,762 Total Assets 613,533 872,200
